Data & Financials

Airline profitability remains uneven geographically, with carriers in much of the world struggling to earn a profit even as the overall industry continues to generate record revenue and earn robust annual income.

Southwest Airlines informed investors June 4 to expect a second-quarter 2018 RASM drop of about 3% compared to 2Q 2017, a consequence of lower bookings following the April 17 engine failure on flight 1380, a Boeing 737-700, which killed one passenger.

Rising oil prices are causing short-term pain for many airlines, but ultimately yields will improve to compensate, the head of the Association of Asia Pacific Airlines (AAPA) believes.

Despite its debt, China’s HNA Group is looking to acquire 100 COMAC ARJ21s and 200 C919s after signing a strategic cooperation agreement with COMAC June 2.

Global airline passenger traffic growth remained strong in April, with an 82.3% passenger load factor—the third record-setting monthly load factor in a row.

Global air cargo demand grew 4.1% year-over-year in April, recovering from a 23-month low in March but showing increasing signs that trade growth worldwide—in both air freight and global containerized trade—may be weakening as protectionist measures accelerate worldwide, according to IATA’s Air Freight Market analysis released May 30.

IATA is set to cut its forecast for this year’s airline industry profits as fuel prices continue to rise more quickly than expected.

Aeroflot Group reported a 2018 1Q net loss of RUB11.5 billion ($2 million), nearly doubled from a year-ago period. Revenue for the quarter was RUB111.9 billion, up 8.5% year-over-year (YOY).

Scandinavian Airlines (SAS) reported a 2018 first-half net loss of SEK597 million ($68.8 million), narrowed from SEK876 million in the year-ago period.

Air Seychelles has ordered a CFM International LEAP-1A-powered Airbus A320neo, which will be used as part of a wider fleet renewal.

Central and Eastern European LCC Wizz Air’s net profit for 2017-18 rose 22.1% to hit €275 million ($322.4 million), exceeding its guidance.

Greece-based Aegean Airlines reduced net losses 14% in the first quarter, reporting a net loss of €30.8 million ($38 million), narrowed from a net loss of €35.8 million in the year-ago quarter.

The AirAsia Group almost doubled its first-quarter net profit to MYR1.1 billion ($276.3 million), boosted mainly by the sale of assets, but also fueled by higher passenger volume.

AirAsia X reported a first-quarter group net profit of RM41.5 million ($10.4 million), up from a profit of RM10.3 million in the same period last year.

Ryanair CEO Michael O’Leary is expecting to see further European airline consolidation through winter 2018, as higher fuel prices begin to bite, creating potential opportunities for the Irish LCC.