British Airways reported that in September 2004, passenger capacity, measured in Available Seat Kilometres, was 0.6 per cent above September 2003 and traffic, measured in Revenue Passenger Kilometres, was higher by 3.6 per cent. This resulted in a passenger load factor up 2.2 points versus last year, to 77.9 per cent. The increase in traffic comprised a 0.2 per cent decrease in premium traffic and a 4.2 per cent increase in non-premium traffic. Cargo, measured in Cargo Tonne Kilometres, rose by 13.6 per cent. Overall load factor rose by 3.8 points to 72.4 per cent.
For the July to September quarter, ASKs rose by 2.1 per cent, with RPKs rising by 4.7 per cent. This resulted in an increase in passenger load factor of 2.0 points, to 78.4 per cent. This comprised a 4.6 per cent increase in premium traffic and a 4.7 per cent increase in non-premium traffic. CTKs rose by 19.3 per cent.
Market conditions
Market conditions remain unchanged. Longhaul premium volumes are recovering, while shorthaul premium travel remains at lower levels. Non-premium volumes are very price-sensitive. Revenue is still expected to be some 2-3 per cent higher in this financial year.
Costs
As a result of Yen depreciation against sterling, there will be a non-cash accounting credit of …
British Airways reported that in September 2004, passenger capacity, measured in Available Seat Kilometres, was 0.6 per cent above September 2003 and traffic, measured in Revenue Passenger Kilometres, was higher by 3.6 per cent. This resulted in a passenger load factor up 2.2 points versus last year, to 77.9 per cent. The increase in traffic comprised a 0.2 per cent decrease in premium traffic and a 4.2 per cent increase in non-premium traffic. Cargo, measured in Cargo Tonne Kilometres, rose by 13.6 per cent. Overall load factor rose by 3.8 points to 72.4 per cent.
For the July to September quarter, ASKs rose by 2.1 per cent, with RPKs rising by 4.7 per cent. This resulted in an increase in passenger load factor of 2.0 points, to 78.4 per cent. This comprised a 4.6 per cent increase in premium traffic and a 4.7 per cent increase in non-premium traffic. CTKs rose by 19.3 per cent.
Market conditions
Market conditions remain unchanged. Longhaul premium volumes are recovering, while shorthaul premium travel remains at lower levels. Non-premium volumes are very price-sensitive. Revenue is still expected to be some 2-3 per cent higher in this financial year.
Costs
As a result of Yen depreciation against sterling, there will be a non-cash accounting credit of £5 million in the second quarter financial results.
Strategic Developments
British Airways completed the sale of its 18.25 per cent shareholding in Qantas. The gross sale proceeds were A$1.1 billion (approximately £430 million) which the airline received on 14 September. The airline expects to use the proceeds to repay part of its existing gross debt, which at June 30, 2004 amounted to £5.6 billion.
The winter schedule of the company was announced and includes new services to Switzerland, Greece, Croatia and Lithuania.
Furthermore, British Airways has introduced a bistro style restaurant at New York`s JFK airport for business passengers to sample dishes created by UK based Michelin starred chefs including Richard Corrigan of The Lindsay House in London, Vineet Bhatia from Rasoi in London and Shaun Hill from The Merchant House in Ludlow.
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