JAPAN: ANA reduces 2009-10 forecast

ANA said it now expects to report a Â¥65 billion (US$720 million) net loss in its fiscal year ending 31 March, compared to the Â¥28 billion loss forecast last October, owing to a “slower than expected recovery,” although it plans to return to profit in 2010-11. The Japanese carrier said domestic demand and unit revenue […]


ANA said it now expects to report a ¥65 billion (US$720 million) net loss in its fiscal year ending 31 March, compared to the ¥28 billion loss forecast last October, owing to a “slower than expected recovery,” although it plans to return to profit in 2010-11.

The Japanese carrier said domestic demand and unit revenue both failed to rebound as expected and improvement in international traffic failed to produce the anticipated recovery.

The full-year loss will compare to a ¥4.2 billion deficit in 2008-09. The company was ¥35.1 billion in the red through the nine months ended 31 December, 2009. Revenue for 2009-10 is expected to be ¥1.22 trillion rather than the ¥1.26 trillion forecast in October, and ANA now is forecasting a full-year operating loss of ¥61 billion rather than ¥20 billion. It said various cost-cutting measures will leave expenses in line with last fall’s expectations.

In its “FY2010-11 Corporate Strategy”, ANA said it anticipates an improved business opportunity next year thanks to capacity increases at Tokyo Narita and Haneda and the long-awaited introduction of the 787, both of which will fuel long-haul growth.