Japan's ANA downgrades full-year outlook, to reduce staff by 20% within 5 years

Japan's biggest airline, ANA Holdings, said it expected to report an operating loss in the current financial year, down from an earlier prediction of a profit, and that it would reduce staff numbers by 20% within five years. The airline Friday announced the plans to eliminate 9,000 roles through attrition and retirement as it steps up digital interaction with customers in an investor presentation after reporting a weaker-than-expected first half result due to travel curbs. The operating loss of 116b yen ($1.02b) for the six months ended Sept. 30, however, was narrower than a 280.95b yen loss a year earlier due to cost-cutting. ANA, which has reported losses for seven consecutive quarters, said it expected to return to a profit in Q4 due to a forecast recovery in passenger numbers. But for the 12 months ended March 2022, it expects to report an operating loss of 125b yen, down from its earlier guidance for an operating profit of 28b. "The revised forecast reflects the findings that projected second-half revenue will not be sufficient to cover lack of revenue during the first half of the fiscal year," the airline said. Japan lifted a state of emergency at the end of last month that had been in force across much of the country. While domestic tourism is seen slowly recovering, there is no sign that international travel, particularly inbound tourism, will return in a big way anytime soon.<br/>