(TAN): The Japan Airlines Group (JAL) has announced the consolidated financial results for the second quarter of financial year 2020.
Due to the spread of Covid-19, the business environment has been challenging in FY2020/Q2. In response to the sharp decrease in travel demand on both international and domestic markets, the company is striving to reduce variable and fixed cost to counteract the significant decrease in revenue.
However, operating revenue decreased to JPY 194.7 billion (USD 1.85 billion), down 74% YoY, EBIT recorded a loss of JPY 223.9 billion (USD 2.1 billion). The airline posted a loss of JPY 161.2 billion (USD 1.5 billion) during the first Half of FY 2020.
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As strict travel and quarantine restrictions were imposed on a global scale, international passenger demand decreased by 97.7% and international passenger revenue recorded JPY 9.1 billion (USD 85 million), down 96.6% YoY.
The JAL Group will consider the restart of services based on passenger demand, while assessing the immigration and quarantine systems in each country.
