Flydubai widens loss in 1H as oil prices rise
Flydubai saw its first-half loss more than double compared to the same period in 2017, caused by a combination of sharply higher fuel prices and a “challenging” economic and geopolitical climate. The airline reported a loss of AED316.8m (US$86.3m) for the 6 months to June 30, widened from a loss of AED142m a year ago. Traditionally, flydubai does not specify whether this figure is net, pre-tax or EBITDA. The carrier said that oil prices—up 35% on a year ago—had resulted in increased costs of AED175m, which would account for more than half of its loss. As a result of the higher prices, fuel accounted for 29.2% of flydubai’s total operating costs, compared to 24.8% for the same period last year. The increased loss came despite revenue increasing by 10.4% to AED 2.8b over the year-ago figure. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2018-09-06/unaligned/flydubai-widens-loss-in-1h-as-oil-prices-rise
https://portal.staralliance.com/cms/logo.png
Flydubai widens loss in 1H as oil prices rise
Flydubai saw its first-half loss more than double compared to the same period in 2017, caused by a combination of sharply higher fuel prices and a “challenging” economic and geopolitical climate. The airline reported a loss of AED316.8m (US$86.3m) for the 6 months to June 30, widened from a loss of AED142m a year ago. Traditionally, flydubai does not specify whether this figure is net, pre-tax or EBITDA. The carrier said that oil prices—up 35% on a year ago—had resulted in increased costs of AED175m, which would account for more than half of its loss. As a result of the higher prices, fuel accounted for 29.2% of flydubai’s total operating costs, compared to 24.8% for the same period last year. The increased loss came despite revenue increasing by 10.4% to AED 2.8b over the year-ago figure. <br/>
