Kata Rocks
The Phuket News Novosti Phuket Khao Phuket

Login | Create Account | Search

THAI profits take Q1 nosedive

BANGKOK: Thai Airways International Plc (THAI) has blamed the appreciation of the baht, the US-China trade war and the closure of Pakistani airspace for an 83% dive in its year-on-year first-quarter profits.

Friday 17 May 2019, 08:54AM

The national carrier on Thursday (May 16) announced its financial statement for the first quarter of this year.

It reported a net profit of B456 million, down from a B2.7 billion profit in the first three months of last year. It posted revenue of B49.7bn, down 6.9% on the same period last year.

THAI president Sumeth Damrongchaitham said the fall is caused by the strong appreciation of the baht against major currencies, which made it impossible for the airline to raise air ticket prices.

“Although the baht’s appreciation helped lower some expenses, including loan payments and lease payments for aircraft and engines, this benefit remains minimal,” he said.

The trade war between the United States and China also took a toll on the airline’s cargo business, which saw earnings drop 12.9%, Mr Sumeth said.

QSI International School Phuket

The airline was also affected by the closure of Pakistani airspace in late February following clashes with India, Mr Sumeth said, noting THAI aircraft needed to make detours, which pushed up fuel costs. The airspace has since been partially opened.

According to the THAI president, the airline utilised an average of 90 aircraft during the first quarter, four fewer than in the same period last year.

The airline plans to sell products on its website and mobile app in September to increase revenue.


Read original story here.

Comment on this story

* Please login to comment. If you do not have an account please register below by simply entering a username, password and email address. You can still leave your comment below at the same time.


Be the first to comment.


Have a news tip-off? Click here


Phuket community
Phuket Property Guide: COVID impact and bargain hunters

It is hilarious how the Thai Goverment tries to push the tourist angle along with the "great in...(Read More)

Sustainably Yours: Reimagining Phuket

***** Very well written article. Thank you....(Read More)

Phuket Opinion: The waiting game

My compliments to the way the Thai Government has handled this pandemic. Keeping tight control of ...(Read More)

Thai Airways loses state enterprise status after stake sell-off

* Consider the word 'noth' as not written. Qantas and Royal Dutch Airline are officially no ...(Read More)

Phuket Property Guide: COVID impact and bargain hunters

Just how valuable is a house on a half expired land lease?...(Read More)

Sustainably Yours: Reimagining Phuket

Yes let us move past disaster capitalism which relies on endless growth- abhorrent of nature. This i...(Read More)

Big turnout as malls reopen

It wouldn't matter when shops opened. After 2 months of closure, there naturally would be a ten...(Read More)

Sustainably Yours: Reimagining Phuket

Not a good article from the tree huggers, plugging their petty business ideas, which should be direc...(Read More)

Sustainably Yours: Reimagining Phuket

The whole article is the most ridiculous one I have ever read on here.They should transport all thos...(Read More)

Sustainably Yours: Reimagining Phuket

Maybe they should tear down all existing hotels and build some bamboo huts.Tourists could book potte...(Read More)