Korean budget carriers see losses stretch in Covid-19 year of 2020

South Korea’s budget air carriers sank deeper in the red as they were forced to idle international flights and sell domestic tickets at dirt-cheap price to survive the Covid-19 pandemic. Jeju Air disclosed on Monday 114.6b won ($104.24m) in consolidated operating loss for Q4 2020, widened from 70.1b won losses three months ago and 45.1b won a year earlier. The loss was 64.4% larger than the market consensus compiled by Seoul-based financial data provider Yonhap Infomax. Net loss also expanded 32.7% on quarter to 45b won over sales of 52.2b won, down 12.4% on quarter and 83.1% on year. Jin Air, a budget carrier under Korean Air Line, posted a consolidated operating loss of 184.7b won in 2020, up 278% against a year ago on sales of 271.8b won, down 70.1% over the same period. Asiana Airline’s smaller carrier Air Busan’s operating loss totaled 196.9b won on sales of 189.4b won, down 70.1% on year. T`way Air, which will release its earnings report this Friday, is projected to have logged an operating loss of 130b won in 2020.<br/>