During the first nine months of the year, SAS Scandinavian Airlines has recorded a net profit of SEK439 million ($52 million) compared to a SEK416 million net loss in the year-ago period. The airline’s revenue increased by 6.3% during the reporting period to SEK28.7 billion. During the third quarter, SAS posted positive income before tax and non-recurring items of SEK996 million.
SAS credits its improved financial performance to improved passenger flows coupled with cost-cutting measures.
SAS president and CEO Rickard Gustafson said: “SAS’s clear focus on Scandinavia’s frequent travelers is generating results and we now have more than four million EuroBonus [loyalty program] members. We have noted substantial demand from our frequent travelers for flights to the US and in 2016 we are expanding with three new routes: Los Angeles-Stockholm, Miami-Oslo and Miami-Copenhagen.
“At the beginning of September, we are also opening a new direct route between Stockholm and Hong Kong, which will be operated with SAS’s first new Airbus A330 Enhanced,” he said. “In parallel with advancing our positions in our target group, we are continuing the implementation of the cost measures that will generate an overall earnings impact of SEK2.1 billion, with full effect in 2017.”
Unit revenue measured in PASK for the nine months increased 5.5% with unit cost up by 3.3% measured in CASK – both exclude fuel cost.
SAS’s traffic for August 2015 dipped by 1.1%, on the back of a 0.3% decline in capacity, compared to the year-ago period. The load factor for August was 80.5%, down 0.7 percentage points.