Japan’s homegrown independent LCC, Skymark Airlines, upgrades full-year profit forecast

Skymark Airlines, Japan's third largest carrier, expects its profitable run to continue in the current fiscal year through Mar-2012 with the carrier, like Japan Airlines, upwardly revising its operating profit forecast for the full year. The LCC has revised its profit forecast upward by 21% to JPY17 billion (USD221.2 million) after reporting a 55% year-on-year increase in operating profit in the six months ended 30-Sep-2011, amid a positive outlook for the current quarter.

2011 has been a busy year for Skymark Airlines, which earlier in the year placed a landmark order for six A380s, as part of its ambitious growth plans, moving it away from the small (and successful) domestic quasi-LCC model to a long-haul international carrier. The carrier's expansion strategy is unique in that it will operate two very different models. Long-haul international services will utilise A380 equipment configured in a low-density seat configuration. Domestic and short-haul services will continue to be operated with economy-only B737 aircraft and no-frills service, with the carrier recently launching its 'Narita Shuttle' service as part of its domestic expansion.