Brussels Airlines has reported a loss of €182 million in the first six months of 2020, despite the drastic cost-control measures taken to combat the impact of the pandemic crisis. First half revenues fell to €252 million, 63% below their prior-year level. The airline transported 67% fewer passengers between January and June and the seat load factor dropped by 7.4 percentage points to 72.4%.
Brussels Airlines temporarily suspended all scheduled flights from 21 March to 14 June 2020. On 15 June, the airline finally relaunched its commercial flights again, with a limited network.
The airline booked a write-down of €29 million on right-of-use assets consisting of two A330-200s and eight A319s in the first quarter.
Brussels Airlines total operating expenses decreased by 39% to €463 million, primarily due to the volume-related decline and measures in the cost of materials and services.
Brussels Airlines states that it is structurally tackling its cost structure and optimising its network by cutting marginally profitable and unprofitable routes, resulting in a fleet reduction of 30%. The overall size of the company, and as a consequence of its workforce, will become 25% smaller.
The Belgian Government and Lufthansa have agreed on a stabilisation package to help Brussels Airlines overcome the crisis and to become structurally profitable.