Nok Air has continued to narrow losses in the third quarter this year as higher operating costs slowed down its business turnaround.
The cash-strapped budget carrier posted a net loss of 653 million baht in the period, down from 1.07 billion baht in the same quarter last year.
The SET-listed airline's financial chief Brian Jeffery blamed higher fuel prices, which rose to an average of US$63.56 a barrel from $54.30 in the third quarter of 2016, for denting the balance sheet.
The excise tax on jet fuel used for domestic flights introduced by authorities added 880 million baht to Nok Air's fuel bills.
Its third-quarter revenue edged up 1.55% to 3.26 billion baht, though other performance indicators slipped because of fierce competition.
It carried 1.96 million passengers, down from 2.14 million, while the cabin factor was 84.2% compared with 86% in the previous quarter.
The third-quarter result boosted its nine-month loss to 1.59 billion baht, an improvement from 2 billion baht in the same period last year.
Chief executive Piya Yodmanee said the airline already passed its nadir for financial performance.
"Our losses will continue to decline in the quarters to come as we are improving the bottom line," he said.
Mr Piya also made clear the airline is not seeking further capital injection for quite some time.
That followed the recent successful round of new share offerings to Nok Air's existing shareholders that raised 1.7 billion baht to propel its turnaround plan.
He said the airline is driving a number of initiatives in an effort to enhance productivity and efficiency, boosting aircraft use to 11 hours per day per aircraft from 10.4 hours, and raising the load factor to 90%.
Peak travel demand in the fourth quarter should contribute to better financial performance for Nok Air, said Mr Piya.
Yesterday the airline launched a new reservation engine as part of its new marketing initiatives it plans to roll out in the near future.
The "Choose your Nok" concept offers customers three types of tickets and additional products and services.
They are Nok Lite, Nok X-tra and Nok MAX, which offer different fare prices, baggage allowances and meal services.