Air New Zealand posts big profit

Air New Zealand posted a 75% year-over-year improvement in net profit to NZ$98 million ($55.9 million) for the six months ended Dec. 31, 2010, on a 9% increase in revenue to NZ$2.23 billion. Expenses, including foreign exchange losses of NZ$75 million, climbed 11.4% to NZ$1.83 billion.

ANZ Chairman John Palmer attributed the profit to a lift in passenger numbers, cargo volumes and yields. Passengers carried climbed 7.8% to 6.7 million with ASKs increasing 2.7% to 16.8 billion while RPKs jumped 6% to 14.14 billion. Load factor lifted 2.6 points to 84.2%. Yield improved 7.2%.

ANZ CEO Rob Fyfe said that during the six-month period the airline saw initiatives come to fruition that have further strengthened its competitive position. In December, it took delivery of its first of five Boeing 777-300ERs fitted with “Cuddle Class” convertible economy class seat-beds and improved premium economy product.

Going forward, the airline warned of fuel volatility but is bullish on the successful implementation of initiatives across all facets of the business to enhance the ANZ passenger experience, product offering, network, technology, efficiencies and strategic position.

Separately, ANZ told Radio New Zealand that about 40 members of its 1,900-strong Christchurch staff is unaccounted for after the earthquake. Fyfe is leading a team going to homes to search for the missing staff.

(Geoffrey Thomas - ATWOnline News)