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Категория: For international users, News |
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Finnair's profitability improved in early part of the year 9 августа 2007, 19:10 |
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In April-June, Finnair's operational result improved by nine million euros compared to the previous year, to 27.2 million euros. Turnover rose 8.8 per cent to 538.1 million euros. The main factors in the Group's profit improvement were the improved results of the Scheduled Passenger Traffic business area and Finnair Technical Services. The operational result for the full year is expected to exceed 70 million euros.
Euro-denominated operating expenses rose during the period by more than three per cent. Unit costs for flight operations, on the other hand, fell by 3.8 per cent. Fuel costs increased in the second quarter by 15 per cent as a whole, but per available tonne kilometre only by 1.3 per cent.
"Unit costs have clearly fallen due to efficiency measures, and profitability has in many respects improved. However, the ongoing fleet renewal program requires us to further improve the current profitability level and operational performance," says Finnair's President & CEO, Jukka Hienonen.
Unit revenues per passenger kilometre for Finnair's passenger traffic as a whole remained at the previous year's level, but fell in scheduled traffic by three per cent. Due to tighter competition, the price level for cargo has fallen by nine per cent in the Scandinavian market.
In April-June, the Finnair Group's passenger traffic capacity rose by more than 15 per cent and demand grew 14 per cent; demand in Asian traffic alone rose by 26 per cent. Passenger load factor fell compared with the previous year to 74.6 per cent.
"New openings in Asia and Europe have started off well, but they have put pressure on the price level. The changes we have made to our long-haul network have also proved to be successful. Daily connections to most of our Asian destinations have enhanced operational efficiency and have improved the product. Next summer we will open a route to Seoul, flying five times a week," adds Hienonen.
"During the summer, higher passenger volumes as well as security measures have delayed baggage at large European airports to an unprecedented extent. The problems have also been reflected in Finnair's opportunities to serve its customers," says President & CEO Hienonen.
The fast growth of Asian traffic has also put the passenger and baggage handling capacity of Helsinki-Vantaa Airport to the test. A terminal extension serving Asian traffic will alleviate the situation when it opens in early 2009.
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