Fiji Airways has announced a profit of $55 million for the 2018 financial year and the airline company has also crossed the $1 billion mark for revenue.
This is a 10% increase in revenue in comparison to the previous year’s $929 million.
The group profit before tax was $55.3 million compared to $95.8 million for the previous financial year.
The Group has also announced that all eligible non‑management staff of Fiji Airways and Fiji Link will each receive a profit‑share payout of $2,350.
Fuel prices impacted profits by $31.5 million and foreign exchange valuations impacted profits by a further $8.2 million.
Fiji Airways Managing Director and CEO Andre Viljoen says that 2018 was characterised by significant highs and lows.
He says that the company carried 7% more passengers but this was offset by increased costs.
Viljoen says that fuel price increases alone accounted for $31.5 million being taken off the company’s targeted bottom line while unfavourable foreign exchange variations added another negative impact of $8.2 million.
While making the announcement, the Minister for Civil Aviation Aiyaz Sayed-Khaiyum also revealed that many of the delegates taking part in the 52nd Asian Development Bank meeting did not fly in business class seats as the company had oversold the business class seats.
He says that the point of that story is that there is a growing demand for seats coming to Fiji.
Sayed-Khaiyum says that Fiji Airways has become the first ever Fijian Company to cross the billion dollar profit mark.
He says that this result is a good result considering the increased costs that the business faced last year adding that this is the company’s hard work, teamwork that has brought the billion dollar revenue.
