In the first six months of fiscal year 2021 (April 1, 2021 - September 30, 2021), ANA Holdings (ANA HD) operating revenue reached ¥431.1bn, up from ¥291.8bn in the prior-year period. The continued impact of COVID-19 resulted in an operating loss of ¥116bn, an ordinary loss of ¥115.5bn, and a net loss attributable to owners of the parent of ¥98.8bn, while overall losses are decreasing year-on-year.
“In the face of prolonged adversity and continuously changing market demands, ANA HD has leveraged its assets and expertise to adjust fundamental aspects of our business model to reflect the shifts in demand that have been caused by the pandemic," said Ichiro Fukuzawa, Executive Vice President and Chief Financial Officer of ANA HOLDINGS.
While ANA HD still recorded an operating loss, reductions in fixed costs such as personnel costs as well as depreciation, amortization and maintenance costs were achieved through the early retirement of aircraft that helped improve profits and curtailed losses compared to the previous year. Revenue and the number of passengers increased year-on-year due to a gradual recovery in business demand, primarily for expatriates traveling between Japan and overseas, as well as connecting demand for flights from Asia to North America and demand for the Tokyo Olympic and Paralympic Games.
International services revenue rose by 54.9% to venue rose by 54.9% to ¥30.4bn due to the reinstatement of North American flights in July. Domestic services revenue also rose by 41.7% to ¥111.8bn with numbers of passengers ticking up. Load factors for international routes remained low in the 20% region, with domestic load factor up to 43.8%. During the period ANA started code-sharing on select flights operated by Peach Aviation.
For international cargo services, ANA responded to strong demand by deploying passenger aircraft to fly cargo-dedicated flights and fully utilizing the freighter aircraft, while introducing the Boeing 767F freighter on the Tokyo Narita – Beijing route in July. By capturing demand for the transportation of goods such as automotive parts and semiconductors from Asia as well as electronic equipment and
vaccines from North America and Europe, cargo volume greatly exceeded the amount transported during the same period in the previous year and quarterly revenue hit a record high.
Peach introduced a new route, Osaka Kansai – Memanbetsu in July. All international routes are currently suspended due to continued immigration restrictions in a number of countries.
Other revenue from the Air Transportation business was ¥60.7 billion (down 10.8% year-on-year), which includes revenue from the mileage program, in-flight sales revenue, revenue from maintenance contracts and other sources.