Finnair looks to summer recovery as loss run continues into 2021

Finnair expects Q1 losses to be comparable to the levels reported in the three quarters since the pandemic hit, after today disclosing a full-year operating loss of E595m. The carrier says that during Q1 of 2021, it continues to operate a limited network because of travel restrictions and, as a result, the comparable operating loss for the period will be of a ”similar magnitude” to those seen in the second, third and fourth quarters of 2020. Finnair posted a comparable operating loss of E163m for Q4, contributing to the full-year loss of E595m. The latter figure falls to an operating loss of E465m when adjusted for one-off effects from changes to its pensions scheme. Full-year revenues slumped 73% in 2020 to E892m, as passenger levels fell 76% from 14.7m to just 3.5m. Finnair CE Topi Manner says: ”Our result for the year was [a loss of] E523.2m. Thanks to the rights issue of nearly the same size, our balance sheet and cash reserves remained at a healthy level. Our equity ratio was 24.6% and our cash reserves amounted to E823.7m at year end. During the year, we focused on securing the continuation of operations and our long-term competitiveness in a post-pandemic market that will be different from what it was before the pandemic.”<br/>