News
Air New Zealand takes 39% profit hit in first half 2023-2024
February 23rd 2024
Air New Zealand (AirNZ) has reported a 39% drop in interim profit as travel demand softened compared with the previous year. Read More » Net profit for the six months to last December 31 was NZ$129 million (US$80 million) compared with NZ$213 million a year ago. Passenger revenue of NZ$3.1 billion climbed 21%, driven by a significant ramp-up in capacity across the carrier’s international network. Overall capacity was up 29% for the reported period. Operating costs, including fuel, increased 21% because of a substantial increase in long-haul flying. “We knew this year would be tougher than last year when pent-up levels of demand and industry-wide capacity constraints drove one of the strongest financial results in our history,” AirNZ chair, Dame Therese Walsh, said. The carrier noted several continuing economic and operational conditions are expected to have a significant adverse impact on performance in its second half, to June 30. In light of these conditions, the airline forecasts its second half performance will be markedly lower than the first half.
