News
Air New Zealand goes into the red in first half of fiscal year
February 25th 2021
Air New Zealand (Air NZ) today reported a net loss of NZ$72 million (US$53.5 million) for the six months to December 31, 2020, compared with a net profit of NZ$101 million 12 months earlier. Read More » Operating revenue was down 72.5%, to NZ$708 million, Air NZ told the local stock regulator the airline's international network remained largely dormant given travel restrictions in place from COVID-19. But the carrier’s domestic and cargo business had experienced a strong recovery, the airline’s CEO, Greg Foran, said. "For the six months to 31 December, 2020, we operated 1,800 flights, moving four million passengers around the country and also saw strong signs of corporate demand recovery as the economy started to ramp up following the second lockdown in August 2020," Foran said in a statement. Air NZ‘s domestic capacity, in seats flown in January 2021, was at 80% of 2019 levels for the same months. Cargo business posted a 91% lift in revenue in the first half of the latest fiscal year,
Air NZ is expecting to post a "significant loss" for the full 2020/2021 financial year despite the strong domestic and cargo performance. "There is still a large degree of uncertainty surrounding the lifting of travel restrictions and the subsequent level of demand," it said.
