Vanilla Air Moving Forward
Transcript
Tomonori Ishii:皆さんこんにちは。Welcome to Narita, Vanilla Air's hometown. Narita is famous not only for Narita International Airport, but also for over 1,000-year-old temple Shinshoji. Also, Narita is called Luck and Fortune City, so you better to go to Shinshoji Temple, then luck will turn in your favor. But please don't more luck than us. I'm not the person from Narita Municipal Office, so Let's, uh, moving forward to Vanilla Air's presentation. So as for Vanilla Air, we started Vanilla Air's operation 2 and a half years ago after getting a divorce from joint venture with AirAsia. We are 100% owned by ANA Holdings. And our hometown is Narita. Now we have 7 routes, and the 8th route, Okinawa-Taipei, will be open from middle of September. Let's see the Narita-Chitose route. We offer the largest number of frequencies and capacities on this route, and expecting more inbound traffic from all airlines. So you are welcome. And as for Narita-ASJ, ASJ represents Amami Oshima Island. This island is located between Okinawa and Kyushu Island, southern part of Japan. This route is a typical success model of vitalizing local economy. We generated almost double number of passengers at first year. This brought ¥4.2 billion direct and indirect economic effect in Amami at first year. So they called it Vanilla effect. Also, we thank Shibayama Town surrounding city to support this route by having a region exchange program with Amman City. LCC Narita Taiwan routes. We are going to enhance frequencies and network between Japan and Taiwan. So seat share of Taiwan route among Vanilla Air's overall capacity in this fiscal year will be almost 40%. So stable operation is one of the most important factors for our business model. As for completion factor, we achieved 99.3%. 99.3%. same as Peach, and on-time performance, 82.7%. But as for on-time performance, domestic operation was 85.1%, but international operations figure was rather low. So we are tackling to improve these figures. Thank you, Tomonori. Say, last fiscal year, 2015, we decided not to increase the number of fleet and made the most of 8 aircraft and raising operation rates. Also, with choice and focus strategy, we concentrated on 3 domestic and 3 international routes. and increased frequencies. We supplied 2 million seats, 48% increase year on year. So also we carried 1.7 million passengers, 48% increase year on year. So we could improve load factor from 78% 88.9% to 85.5%. Thanks to the contribution of revenue management and strengthening our presence, so-and-so, unit revenue increased 14% year-on-year. On the other hand, thanks to low oil price and improving efficiencies, Unit cost was decreased 18% year on year, and operating revenue increased 77% year on year. So finally, we could make a profit last fiscal year. So Kataoka-san from Jetstar Japan and One son from Spring Japan. We are waiting for you to join the black carpet club. So move to future growth. We set 3 objectives in our midterm vision. First one is Trustworthy. We will be number one in quality, improve completion factor, on-time performance, and provide safe, reliable, and stable operation. Second one is high performance. We will be number one LCC in Narita, in terms of wide network, high load factor, and keeping reasonable operating profit, so on and so forth. Thanks to supporting from Narita International Airport Corporation and surrounding cities and towns, so we could achieve high load factors, and we are proud to say We'll be a— we are a first LCC success model based in Narita. Third one is challenge. We will evolve new model of LCC, challenging for new type of operation. LCC Alliance, we already joined the Value Alliance. We will offer new products, with a lighthearted and exciting. We will deploy more international routes and resort destinations and getting more inbound traffic through our own network and value alliance network and prepare for new type of aircraft for mid-range This page, future growth. We will grow 3 times as large as the present scale in terms of number of fleet, available seat kilos, revenue, and profit. Very simple, 3 times. So Last 2 pages are for Value Alliance. So you can see the picture in the front row, left side is our president, Mr. Godot. We are founding member of this alliance. We will expand our network with our partner airlines. So thank you for your kind attention. Thank you.
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