News
Air New Zealand records annual loss before taxation of $200 million
August 28th 2026
Air New Zealand (Air NZ) said it recorded a pretax loss of NZ$336 million ($200 million) for the year ended June 30, 2026, compared with earnings before taxation of NZ$164 million in the prior year. Read More » The loss was smaller than the earlier estimates. Total revenue reached NZ$7.0 billion, up 3.9% compared to a year earlier. Air NZ said the result was primarily driven by four factors: Jet fuel prices with an estimated NZ$135 million impact on the pre-tax result, engine availability which impacted the result by an estimated NZ$190 million, aviation system costs (approximately NZ$720 million was recognised as a cost in our Air NZ’s statements in 2026), and maintenance (2026 was a peak aircraft maintenance year, with an increase of NZ$139 million, excluding foreign exchange, compared to 2025). Air NZ said disruption from engine shortages was easing. “After several years of disruption, the engine challenges that have constrained our network are now substantially behind us. Our teams have worked relentlessly with Rolls-Royce and Pratt & Whitney to return grounded aircraft to service earlier than expected, and aircraft availability has improved by the end of the financial year. There are still residual risks and costs to work through, but we enter 2027 in a considerably more reliable fleet position,” Nikhil Ravishankar, CEO of Air New Zealand, said.
The Star Alliance member carrier said that, given the continued uncertainty surrounding the conflict in the Middle East, the volatility of jet fuel prices, and jet fuel currently at around US$150 per barrel, the airline is not in a position to provide earnings guidance for the 2027 financial year.
