PLAY forecasts loss for 2Q2025 driven by external factors
PLAY forecast (21-Jul-2025) a USD16 million loss for 2Q2025, compared to a net loss of USD10 million in 2Q2024. The company stated the deviation in results was primarily driven by the following factors outside its control:
- A negative foreign exchange effect of approximately USD2.5 million due to strengthening of the Icelandic krona, which impacted mainly salaries, handling and airport charges;
- One aircraft scheduled to commence operations through PLAY Europe in early spring 2025 faced unexpected delays due to maintenance, which resulted in lost revenue of approximately USD1.1 million;
- Demand in the trans Atlantic market was weaker than expected due to the volatile geopolitical environment, tariff uncertainty and macroeconomic softness.
PLAY is implementing cost saving measures that did not fully come into effect while it transitions to a new business model, which entails one off transition costs impacting the period. PLAY's core network and load factor performance remain in line with expectations and RASK is higher compared to 2024 with key operational indicators being positive. [more - original PR - English/Icelandic]
Background ✨
PLAY shifted its business model recently by reducing North American and connecting traffic to focus on point-to-point leisure routes and ACMI leasing, supported by a new Maltese AOC and network adjustments, which led to significant capacity reductions and lower passenger numbers but delivered higher yields and improved unit revenues. The transition period also drove a split between scheduled and leasing operations, with further strategic changes and delisting plans announced by senior management in 2H20251 2 3.