(TAN): Aeroflot has announced a loss of more than RUB 26 billion (USD 355 million) for Q2 2020 and over RUB 42 billion for the first six months of the year. The Russian airline group has attributed its losses mostly to the impact of the COVID-19 pandemic.
The airline specifically recorded a loss of RUB 26.156 billion for Q2 2020 and RUB 42.294 billion for H1 2020.
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The spread of the novel coronavirus has had an unprecedented impact on the global aviation industry. Almost complete halting of all international flights at the end of March 2020 as well as restrictions introduced on domestic flights led to a drastic decrease in passenger numbers in Q2 and H1 2020, the airline said, adding that this had a major impact on Aeroflot’s financial results.
In Q2 2020, passenger turnover decreased by 92.1% YoY, following the almost complete halting of international flights (with the exception of repatriation flights) and a significant reduction in domestic flights due to quarantine-related travel restrictions in certain regions of Russia. Consequently, in H1 2020, passenger turnover declined by 56.7% YoY.
The airline claimed its management’s decision to decrease capacity by 47.8% had a positive impact on costs.
In H1 2020, Aeroflot Group carried 12.9 million passengers, 54.2% down YoY, while Aeroflot airline carried 7.8 million passengers, a YoY decrease of 56.1%.
The Aeroflot group said it was seeing a gradual recovery of domestic flights.
The management plans to continue the implementation of strict cost-optimisation measures and is in constant dialogue with partners to improve terms and conditions in order to preserve jobs and the company’s business and weather the current global crisis, the airline added.
