News
Air New Zealand flags challenging second half 2023-2024
December 14th 2023
Air New Zealand (Air NZ) expects its second half to be “increasingly challenging” as it deals with market softness, increased competition in key markets, the impact on operations of Pratt & Whitney engine inspections and macroeconomic factors. Read More » The Star Alliance member forecasts interim earnings before taxation to be near the “bottom end” of previously issued guidance at around NZ$180 million to NZ$230 million (US$110 million and US$141 million). “Early signs of softness in domestic travel, particularly in the corporate and government sectors, noted in the October 12 update, have continued with late booking activity remaining weaker compared with the previous year,” Air NZ said in a regulatory filing. “More recently, the airline has identified softer leisure demand in domestic and trans-Tasman markets.” Demand for travel to North America continues to be solid, but there is “additional pricing pressure” in the market due to increased competition from U.S. carriers, it said. “Asia and Pacific Islands demand remains unchanged. Air New Zealand will continue to monitor booking patterns closely,” the airline said.
