Virgin Blue slumps on profit warning, Kingfisher gains on profit expectation


Virgin Blue's shares plummeted 28% on Friday after releasing its second profit warning in a month (but regained over 6% in early trade today), while Qantas gained 1.2%, with a further increase during today's morning trading.

  • Virgin Blue's shares dropped 28% after issuing a second profit warning in a month.
  • Qantas, on the other hand, saw a 1.2% increase in its shares.
  • Air New Zealand, a former partner of Virgin Blue, also experienced a decline in shares.
  • Skywest Airlines was the best performer on Friday, with a 7.4% increase in shares.
  • Air China and Kingfisher Airlines saw positive share price movements, with increases of 4.3% and 3.6% respectively.
  • Markets in Singapore, Malaysia, and Thailand were closed on May 28th for a public holiday.

See related report: Aspirational Virgin Blue faces reality shock. Aftermath of another profit warning

Erstwhile Virgin Blue partner, Air New Zealand, also lost 1.7% on Friday and was down nearly 1% in morning trade today.

Australia's Skywest Airlines (+7.4%), which last week had its monopoly of a number of air routes extended for nearly a year, was Friday's best performer.

Elsewhere, Air China (+4.3%) also continued its price recovery, while Kingfisher Airlines gained 3.6% as it revealed sharply lower losses in FY2010 and predicted a profit in FY2011. See related report: Kingfisher Airlines heading in right direction, predicts profitable 2010/11

Asia Pacific selected airlines daily share price movements (% change): 28-May-2010

*Markets were closed in Singapore, Malaysia and Thailand on 28-May-2010 for a public holiday

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