December 1st 2024

Print Friendly

APRIL

The precarious nature of the aviation industry was on show this month when Australia’s newest LCC, Bonza, cancelled operations and entered voluntary administration just 15 months after launch. Read More »

The airline, backed by U.S. investor 777 Partners, could not be saved and was wound up in July after failing to find a new owner.

Aviation watchers attributed the collapse of Bonza to operating 737 MAX 8s on thin regional-focused routes, its complete absence from key airports such as Sydney and troubles at parent 777 Partners.

Across “the ditch”, Air New Zealand lowered its profit forecast for fiscal 2023-2024 in response to a softening market, challenging economic conditions and pricing pressures on its North American routes created by significant capacity increases.

Embraer expanded its footprint in the Asia-Pacific this month when SIA LCC, Scoot, took delivery of its first E190-E2. The aircraft is the first of nine E190-E2s Scoot ordered from lessor Azorra to serve non-metropolitan destinations across the region. The E190-E2 entered commercial service in May with Singapore-Krabi its inaugural route.

Commercial Aircraft Corporation of China (COMAC) received a boost to its C919 program this month when Air China and China Southern Airlines confirmed orders for 100 of the Mainland built narrow-body.

The two airlines joined the aircraft’s order book after launch customer, China Eastern Airlines. It has 105 of the type on order, with their three-digit commitment to the narrow-body.

The growth potential of India’s long-haul market was highlighted this month when IndiGo signed for 30 A350-900s and purchase rights for 50 more of the type.

IndiGo CEO, Pieter Elbers, said the A350-900 represented the next phase in the LCC’s ambition to be one of the world’s leading airlines.

There were more financial results to absorb from across the region this month. All Nippon Airways posted a 75.6% lift in annual net profit for its fiscal year to March 31 reporting operating revenue was higher by 20.4%.

But the airline cautioned the market to expect net profit to fall by close to 30% in its current fiscal year, illustrating the challenges being faced by all airlines from higher costs, supply chain issues and geopolitical conflicts.

China’s Big Three airline groups, Air China, China Eastern Airlines (CEA) and China Southern Airlines (CSA), reported improved bottom lines for first quarter 2024.

Air China and CEA remained loss-making, albeit with reduced net losses, but it was a much better story at CSA, which posted a net profit for the three months.