Aer Lingus reports flat revenues and higher loss in first quarter
Published 01/05/2014 | 07:13
AER Lingus has reported an increase in revenues for the first quarter and a higher operating loss.
The airline said today that revenues were flat year-on-year at €259.4m while it also reported an operating loss €48.5m, €3m higher than the same time the previous year.
It added that the first quarter is seasonally loss making while the later timing of Easter in 2014 and the negative effect of threatened industrial action affected booking volumes in March.
Retail revenue was up 6pc to €38.7m with retail spend per passenger up 10.1pc to €21.09 for the quarter.
Following the expansion of Aer Lingus’ transatlantic services earlier this year, three additional Boeing 757 aircraft are now operational and are expected to drive an increase in full year 2014 long haul capacity of greater than 20pc.
Aer Lingus had gross cash of €1.02 billion at March 2014, up from €1.01bn in the first the previous year, and net cash of €553.7m.
Commenting on the performance Christoph Mueller, Aer Lingus' CEO said: “As previously guided, our first quarter revenue was slightly weaker than 2013 reflecting the timing of Easter in 2014.
"Our operating result is €3m lower than last year primarily due to the adverse effect of threatened industrial action by the SIPTU trade union in advance of St. Patrick’s weekend in March 2014.
"The need to maintain our differentiation and tightly manage our cost base is very clear to us. The timely and effective execution of our recently announced CORE programme is imperative if Aer Lingus is to continue to grow profitably for the medium term."