In stark contrast to Qantas, Air New Zealand announced on Wednesday a normalised earnings before taxation of NZ$332 million for the 2014 financial year ending June 30th an increase of 30 percent on the previous year with net profit after taxation of NZ$262 million.
The airline said that operating revenue, capacity and yields grew across its network, while unit costs remained stable.
Chairman Tony Carter said that the result represented the third consecutive year of strong earnings growth for the airline.
“This is a result Air New Zealand can be proud of. Our employees, our customers and our shareholders can be confident that Air New Zealand continues to be a world leading airline both in terms of customer experience and financial performance,” Mr Carter said.
“We have made significant progress on our key strategic initiatives. With new aircraft offering better operating economics, an optimised network with the right alliance partners, disciplined cost management and a daily focus on improving the customer experience, we are very well positioned to continue growing.”
Mr Carter said that Air New Zealand will significantly grow its capacity in the coming year, as new aircraft arrive.
Chief Executive Officer Christopher Luxon said the result was testament to the efforts of Air New Zealanders at all levels of the organisation.
“Our team is demonstrating their passion and commitment to ensuring that Air New Zealand is performing better than ever before. A successful Air New Zealand is good for everyone – it is a virtuous circle. As we grow our revenue and control costs, we generate strong financial results which lead to sustainable returns to shareholders and investment back in the business,” Mr Luxon said.
And there is more good news on the way.
The airline is now introducing the Boeing 787-9 along with the first of the refurbished Boeing 777-200ERs.
Also on the near horizon is the unveiling of new terminals and lounges in Los Angeles and London and multiple lounge upgrades across the network.
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