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Finnair updates 2013 guidance, operational loss 'possible'

25-Oct-2013 7:12 AM

Finnair lowered (24-Oct-2013) its financial guidance regarding turnover and operating profit for 2013. The carrier stated: "The weak visibility of air traffic development continues due to the uncertain economic outlook in Europe and slower growth in Asia. Fuel costs are expected to remain high in the last quarter of 2013, and the demand for air traffic is estimated to grow moderately. Due to the continuing negative effect of the weak yen on unit revenue in Japanese sales, and the deterioration of cargo and leisure traffic revenues, Finnair expects its turnover in 2013 to be below the 2012 level. Unit costs excluding fuel (CASK excl. fuel) are expected to decrease compared to 2012. If the strong deterioration of unit revenues continues in the last quarter of the year, it is possible that Finnair will not reach a profitable operational result in 2013." The carrier previously forecast a profit for 2013. [more - original PR]