Thai Airways has reported a net loss for July to September, its first quarterly loss this year, after higher fuel costs pushed expenses up 29.1% while revenue grew 12.9% to 50,128 million baht.
The airline released the results yesterday, November 12, and said it was following the situation closely and adjusting its operating plans to the pressure from outside factors.
In its own statement, Thai Airways put the third-quarter net loss at 418 million baht, compared with a net profit of 4,421 million baht in the same quarter last year. Business outlets reporting on the summary results filed with the Stock Exchange of Thailand gave the loss as 431.6 million baht.
The airline paid an average of 59.8% more for fuel than a year earlier, and it linked the rise to unrest in the Middle East, which flared again from early July after easing late in the second quarter. Expenses, excluding one-off items, reached 46,286 million baht, and operating profit before finance costs fell 55.1% to 3,842 million baht.
Finance costs rose by 225 million baht to 3,362 million baht. One-off items added a net expense of 1,126 million baht, mainly from flood damage and foreign exchange losses, partly offset by gains on derivatives. The airline did not say how much of this came from the floods.
The airline carried 3.97 million passengers in the quarter and filled 76.5% of its seats, close to the 76.8% recorded a year earlier. Revenue from fares and excess baggage rose 10.7% to 39,498 million baht, and average passenger revenue climbed to 2.88 baht per passenger-kilometre from 2.61 baht, after the airline raised its fuel surcharges to keep pace with higher oil prices.
For the first nine months of the year, Thai Airways remained in profit, with net profit of 11,226 million baht against 26,394 million baht in the same period last year. It carried 11.81 million passengers over those nine months, 3.1% fewer than a year earlier, and had 91 aircraft in service on September 30.
Cash and other current financial assets stood at 135,487 million baht on September 30, up 11,927 million baht since the end of last year, which the airline said left it ready to absorb further shocks.
The airline described advance bookings for the year-end tourist season as healthy.
Thai Airways first raised ticket prices by 10% to 15% in March as jet fuel prices surged, and other Thai carriers have since cut flights.
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