THAI slumps to Q1 loss
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Thai Airways International (THAI) continued to struggle in the first quarter of 2014.
The national carrier posted a net loss of THB2.62 billion (US$80.4 million) for the three months to 31 March 2014, down from a THB8.3bn profit in the same period last year.
THAI said the result was “greatly impacted” by the ongoing political protests in Bangkok, which are impacting demand from international travellers.
The first quarter is usually Thailand’s high season, but traffic (measured in revenue passenger kilometres, or RPK) slumped by 12.6% and cabin load factors were reduced to just 70.1%, compared to 79.8% in the same quarter last year.
And with no end to the political protests in sight, THAI said it has now been forced to adjust its business plan “to minimise the impact from the decrease in passenger travel”.
“The company aims to enhance its revenue and is controlling its cost to improve its financial performance and support its business operations,” THAI said in a statement.
THAI posted a loss of THB12bn last year.
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