Australian regional carrier Regional Express (Rex) has posted a 6% fall in net profit in its last fiscal year due to lower passenger numbers.
Net profit for the year ending 30 June was A$23 million ($19 million), 6% lower than the $24.3 million posted the year before, says Rex. Passenger revenue fell 4% year-on-year to A$204 million and total revenue fell 4% to A$251 million.
The airline's operating statistics show passenger traffic fell 13% to 1.3 million from 1.5 million, and ASKs fell 10%. This was insufficient to stop a two percentage point fall in passenger load factor to 66.1% from 68.1%.
Rex says that it reduced pilot attrition, exited small AirLink routes and introduced six Saab 340B+ aircraft during the year. AirLink is a small subsidiary carrier Rex has in Dubbo.
Rex also simplified the fleet of its subsidiary Pel-Air by withdrawing ten Fairchild Metro IIIs and one Embraer EMB-120 Brasilia, and introducing three Saab 340 freighters.
In the year ahead, Rex plans to introduce the last seven 340B+ aircraft it has signed on for and complete the construction of its Australian Airline Pilot Academy in Wagga Wagga.
However, it fails to give a financial forecast for this fiscal year, saying that "there is continuing uncertainty in fuel prices" and the economy remains moribund.
Source: Air Transport Intelligence news
