Financial Round Up
ANA first-half profit up 78%
November 4th 2014
Japan’s All Nippon Airways (ANA) reported a healthy improvement in profits for the first six months through September, as the airline’s rapid expansion in international markets provided a significant boost in revenue. Read More »
The carrier’s parent, ANA Holdings, posted a net profit of 35.7 billion yen ($326.4 million) for its fiscal first half, up 78.2% from a profit of 20 billion yen in the same period last year. Operating revenue increased 9.1% to 854.8 billion yen, largely due to ANA’s bullish international growth strategy.
The carrier continues to build its long-haul expansion strategy around the ‘long and thin’ capabilities of Boeing’s 787 Dreamliner. In 2014 to date, ANA opened or resumed service to Houston, Toronto, Vancouver, Dusseldorf, Istanbul and Munich, just to name a few.
ANA’s strong first-half figures are largely the result of a stabilised home economy willing to spend money on international travel again and strong inbound demand, both from the business and leisure segments.
Most importantly, however, ANA benefitted from the acquisition of new slots at Tokyo’s Haneda Airport, which has proven to be a popular gateway to the city as it cuts travel time to the CBD by more than half compared to Narita Airport.
ANA said it is adhering to its previous guidance for the full fiscal year, issued in April. It expects net income to rise to 35 billion yen, compared to 18.8 billion in the previous year. The carrier forecasts operating revenue will be 1.7 trillion yen, a year-on-year increase of nearly 100 billion yen.
