Virgin Australia full-year loss widens on charges
Virgin Australia’s full-year net loss has more than doubled from a year ago, hurt by one-off costs of a restructure to cut capacity amid stiff competition. Virgin posted a net loss of AUD$224.7m (US$169m) for the year to June 30, compared with a $93.8m loss in 2014/15. The airline, which competes with Qantas, is cutting capacity, taking on a new major shareholder, eyeing flights to China and seeking to raise capital to help shore up its margins. Its Q4 and annual results included previously announced charges related to efficiency initiatives "with a focus on the simplification of the group’s fleet through the removal of surplus" capacity and aircraft. Without the one-off charges, Virgin said annual pre-tax profit was $41m, contrasting with the previous year's $49m pre-tax loss. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-07-29/unaligned/virgin-australia-full-year-loss-widens-on-charges
https://portal.staralliance.com/cms/logo.png
Virgin Australia full-year loss widens on charges
Virgin Australia’s full-year net loss has more than doubled from a year ago, hurt by one-off costs of a restructure to cut capacity amid stiff competition. Virgin posted a net loss of AUD$224.7m (US$169m) for the year to June 30, compared with a $93.8m loss in 2014/15. The airline, which competes with Qantas, is cutting capacity, taking on a new major shareholder, eyeing flights to China and seeking to raise capital to help shore up its margins. Its Q4 and annual results included previously announced charges related to efficiency initiatives "with a focus on the simplification of the group’s fleet through the removal of surplus" capacity and aircraft. Without the one-off charges, Virgin said annual pre-tax profit was $41m, contrasting with the previous year's $49m pre-tax loss. <br/>
