 |
| Croatia Airlines posts mixed half yearly results |
Croatia Airlines has seen an improvement in its financial results for the first half of this year while its continuing passenger decline has eased. The carrier handled 801.288 passengers in the first six months of the year, down 1% on the same period in 2013. Out of those, 567.430 passengers were welcomed on international flights (same as last year), 212.109 on domestic services (down 3%) and a further 21.794 travellers on charter flights (a decrease of 6%). The average cabin load factor stood at 64.7%, slightly down from 65.1% in 2013. Overall, Croatia Airlines saw its numbers improve on flights to and from Belgium (+28.7), the Netherlands (+10.8), Bosnia and Herzegovina (+6.9), Austria (+6.5), Germany (+4.2) and France (+1.1). On the other hand, the carrier recorded poorer results on services to and from Italy (-12.5), the United Kingdom (-10.7%), Macedonia (-8.4%) and Switzerland (-3%). Passenger numbers on other markets detracted a total of 19.2%. Overall, the airline operated 12.266 flights, up 3% on last year.
On the financial front, the Croatian carrier reported a net loss of 3.9 million euros during the first half of 2014, which is down from 10.2 million euros on the same period last year. The airline says its financial performance is usually poorer in the first half of the year due to the strong seasonality of the Croatian market. The airline managed to decrease its expenditure by 5%. It spent most on flight operations, then maintenance and passenger services. Croatia Airlines invested almost half a million euros in its fleet, mostly on engine changes and the refurbishment of seats on its Airbus fleet.
Overall, Croatia Airlines has twelve aircraft in operation, five of which it owns (one A320 and 4 A319s) and the other seven which are on financial lease (one A320 and six Bombardier Dash 8s). Together, the fleet operated 17.121 block hours of flying time, up 2%. The airline has 975 employees (330 of which are non-operative) which is down from 1.041 staff at the end of 2013.
Catastrophic loadfactor though... it only goes to prove how empty their flights are in the first couple of month of the year.
ReplyDeleteBy the way, what do they mean by non-operative employees?
Yeah I'm wondering what non-operative employees are as well. Croatia Airlines also has insufficient type of aircraft for some routes... and then there are some routes like Dubrovnik-Venice which has 40pax average on A319.
DeleteIt's Q400 on route DBV - VCE- DBV, not A319
Delete
Deletewhat do you mean catastrophic, 64.7%, down by .4% how can that be catastrophic, with fewer aircraft than in 2013 and more flight operations with remaining 12 aircraft, and not forgetting much of the fleet is inactive during winter season and OU still operates at reduced schedule till April 2015.
The fact that losses in first 6 months are down by 52% on last year when OU made after tax 1$ million profit.
64.7% load factor is still better than air Serbia's load factor, and first 6 months is when OU is relatively inactive due to seasonal nature of OU's business plan, last 6 months of the year is when OU becomes very active. OU could hit 1.8 million pax this year easily, yes short of 1.95 million OU had in 2012 but still good result considering the nature of things in OU atm.
So let me see if I fully understand this:
DeleteOU 3% increase in capacity and smaller fleet = valid excuse for drop in load factor
JU Huge increase in capacity and 73.2% increase in passenger numbers in first four months of 2014 = NOT valid reason for drop in load factor
And by the way, JU's april load factor was 68%.
Can you make a single post here without mentioning Air Serbia for a start?
DeleteThey were grounded due to strike around Mayday 2013, this year there were no strikes and they experience passenger decline? Whats going on in there?
ReplyDeleteThis is what's going on...Remember that for the first 3 months of 2013, OU was still under the "old" flying schedule. The downsizing process (removing 1 arcraft + cutting down on routes by 10%) only started in April/May of 2013....
ReplyDeleteOU has been flying under the reduced schedule ever since, and will continue to do so by the end of 2015.
Sooooo.... when you do the math, this means that the numbers for the first 1/2. of the year are being compared to the period in 2013 during which there was 10% of more flights (January, February, March 2013...when OU actually recorded its winter records...)
So, given they have transported roughly the same # of pax by now...means that OU is actually slowly catching up... Probably have recorded a stronger May and June performance.
In one statement by a management member in OU (Cean't remember who and where this was reported), that OU plans for a 4% pax increase by the end of 2014...
This all means that OU is actually recovering (slowly, but OK)...
Petar, how do you then explain that the number of flights yoy went up by 3 pct (see report). Your theory does not hold water, unless I am missing something.
DeleteDoes this reduced loss include the sale of an aircraft and two engines as a poster suggests here?
Hope Croatia Airlines will find someone to save it!
Delete@UpOrDown - I can't explain where this 3% increase in flight operations comes from (perhaps it stands for a particular month - likely that it was taken out of the context).
DeleteBut I can try to explain the potential reason for an overall capacity increase: OU has added 12 seats in their 2 x 320 (162 + 12 = now 174)... so that's 24 more available seats than in 2013...not much more, but enough to post higher pax numbers in the summer season when demand is at its highest
What I can explain, are the winter 2012/13 vs. winter 2013/14 capacity and flight frequency differences. OU had cut down on its flight operations in April of 2013... and for what we all know, the 1st quarter results for 2014 were a pax decline...which makes perfect sense...and so my interpretation of what has happened in the first 6 month pax numbers (given the 1 milionth passenger arrived rougly around the same date) is that OU was probably able to get its May and June numbers up compared to 2013...
By the end of the year, we'll see if OU will catch up or surpass its 2013 pax numbers...
If they need someone to save OU you have to first kick out Kucko!!
DeleteI'm not trying to do a comparison or start a flame war but in July, Air Serbia's LF reached the same as Jat's in July last year when Jat was operating with 6 aircraft compared to 14 currently operated by Air Serbia. Also the millionth passenger was handled a long time ago. Hopefully they officially publish this information soon.
ReplyDeleteAnd Info about average LF for the first six months?
DeleteWhen was millionth passenger handled, if I may know, for Air Serbia?
Delete@AnonymousJuly 31, 2014 at 4:46 PM
Deletea good question, I don't thik Air Serbia handled millionth passenger yet, otherwise this blog would carry this news as well.
JU has handled more than 1.000.000 so far this year.
Deleteha,ha,ha!
ReplyDeleteIts about result after sale of one aircraft and two engines!
These results should be ok for Croatia Airlines to be interesting to some potential investors.
ReplyDeletePurger, when is Kucko leaving. From what I heard he had an affair :D
ReplyDeleteYes he has an affair! He even ruïnes his marriage!
DeleteCapable man isn't he??? NOT!!
And they speak about Air Serbia load-factor - LOL.
ReplyDeletesorry for offtopic but
ReplyDeleteis there any news when can we expect online checkin for Air Serbia?
I am really eager to hear that info as well...During peak hours in Beg, JU check in counters as overcrowded...They need online check in asap
DeleteU takvom stanju CTN nece naci kupca. Ako ih kupi LH ostace samo Dash 8 Q 400 Avioni.
ReplyDeleteINN
čitaj malo - kak da im ostanu kad su uzeti na najam
DeleteLH ostaviti te Avione placace dalje Lizing.
DeleteINN
http://www.croatiaairlines.com/hr/25-godina-u-oblacima/
ReplyDelete