Indonesian low-cost carrier Citilink posted an operating profit of $67.8 million in 2019, marking a return to profitability for the Garuda Indonesia subsidiary.
This is a significant turnaround for the airline, which recorded an operating loss of $54.6 million in 2018, Garuda’s 2019 annual report shows.
Revenue for the year ended 31 December 2019 was up 17.2% to nearly $844 million. It also posted a net profit of $42.6 million, a stark contrast to the net loss of $42 million in 2018.
Citilink was able to raise its yields by 44.6% to 7.7 cents in 2019, despite passenger numbers for the year falling 17.6% to 12.2 million. Although its ASK declined 8.5%, RPK fell by a larger 17%, and seat load factor was down 7.6 percentage points to 75.2%.
Cost per ASK was up 11.8% to 5.5 cents, and excluding fuel, this swelled 27.3% from 2.9 cents to 3.7 cents.
Garuda adds that Citilink will continue to focus on the low-cost market, both domestically and internationally, and to operate turboprop aircraft transferred by its parent. The transfer began in 2019, and will continue into 2020.
Cirium fleets data show that Citilink currently operates 38 Airbus A320ceo and 10 A320neo aircraft, two A330-900neos, six ATR 72-600s, and one Boeing 737-500 freighter.
