24. 05. 2007 - CSA’s Q1 Results Came in Half a Billion Crowns Ahead of Plan
Prague, 24 May 2007
In the first quarter of this year, Czech Airlines (CSA) reported a loss of CZK 122 million, according to Czech Accounting Standards, a result more than half a billion crowns better than had been planned. The operating results improved by more than CZK 500M y/y.
“Thanks to a successful first quarter, CSA is not entering the high season ‘in a hole’, for the first time in several years. In terms of revenue, the first three months are problematic for all airlines. In that time-period, we achieved better revenue and greater cost savings than planned,” said CSA’s President Radomír Lašák, in commenting on the quarterly results.
The first quarter of this year saw a continuation of the growth in revenue from the second half of last year. In the first three months of the year, the Airline reported operating revenues of CZK 4.6 billion, which means a year-on-year improvement of nearly CZK 300 million. In particular, revenue from carriage increased, reaching CZK 4.2 bn. At the same time, operating expenses dropped by more than CZK 250 million, to CZK 5.1 bn. Financial results were also helped by the implementation of the planned sale and leaseback of five Boeing 737 aircraft in February 2007.
Revenue from carriage grew primarily due to the higher numbers of passengers carried on routes to Germany, Scandinavia, Romania, Spain, and Belgium. In the first three months, CSA carried a total of 1.06 million passengers, which constitutes a 5.2% increase compared to the same period last year.
In March alone, CSA reported a profit of CZK 13 million; in March of 2005, the Airline had a loss of CZK 166 million.
According to the international accounting standards by which most airlines publish their results, CSA reported a loss of USD 33.2 million before tax in Q1. Revenue from air carriage increased by 11 percent y/y, to USD 221 million.