Glasgow Airport-based regional carrier Loganair has reported a 39% increase in pre-tax profit of £6.06 million for the for the 2014 financial year to March 31. Turnover rose less that 1% however during the period to £87.5 million. The carrier said soaring North Sea oil and gas sector demand help drive profits, along with the withdrawal of “several poorly performing routes”, including flights to the Isle of Man from Glasgow and Edinburgh.
Passenger numbers rose 4.9% though total passengers carried – 576,750 – was down 2.6%. Load factor was the best ever recorded for the airline at 65.8%, up from 61.7 per cent on average over the previous five years.
Total capital expenditure in the year was £3.9 million, which included the purchase of two leased aircraft from their lessors.
Loganair operates three Saab 2000s and is planning to increase its fleet.
Executive chairman David Harrison said: “We have started the new financial year in a position of considerable strength. With signs of economic recovery now in evidence, passenger numbers across the UK have returned to growth and we are seeing the benefit across our scheduled service network. In non-scheduled business we are working with a growing number of key customers and we are hopeful that will lead to new opportunities for longer-term contracts. We are now looking into acquiring further Saab 2000s.”