Air France anticipates Q3 loss on lower pax and cargo

Air France-KLM Group said it expects a third-quarter loss as a result of lower passenger traffic and a ¡°strong decline¡± in cargo revenue. ¡°The deterioration in the economic environment during the third quarter has led to a slight weakening in passenger unit revenues and a strong decline in cargo revenue,¡± Air France said in the […]


Air France-KLM cargo financials fuel hedging results


Air France-KLM Group said it expects a third-quarter loss as a result of lower passenger traffic and a ¡°strong decline¡± in cargo revenue. ¡°The deterioration in the economic environment during the third quarter has led to a slight weakening in passenger unit revenues and a strong decline in cargo revenue,¡± Air France said in the statement. Air France-KLM¡¯s cargo traffic in December slumped 20.4 per cent from a year ago as its key Asia-Pacific market collapsed. Like many of its counterparts, fuel hedging also hurt the carrier, preventing it from benefiting from falling oil prices. The cargo unit made an operating profit of €22 million in the first six months of the year against a loss of €29 million euros in the year-earlier period on revenues up 9.5 per cent at €1.55 billion. The carrier still expects to book an operating profit for the full year ending 31 March, but the level will depend on the global economic situation in the coming weeks.