Avianca’s new cargo focus serves it well in soft market
A focus on network expansion and multiple initiatives to improve customer service appears to be paying off for Avianca’s cargo division, which outperformed the vast majority of the air cargo sector in the first half amid an industrywide downturn. While most airlines saw cargo business tumble by a third to a half during the period, the Colombia-based carrier’s cargo revenues only contracted 17% from a year ago to $326m. Sales were 30% higher than budgeted because management anticipated the market normalizing after a supercharged two years of freight demand associated with pandemic distortions of the global economy. In 2022, Avianca transported more than 450,000 tons of cargo on freighters and 128 passenger jets, including large Boeing 787s. More than 50% of the airline’s transported cargo is flowers, fruit, vegetables, meat and other perishable goods. Avianca Cargo currently operates six factory-built Airbus A330-200 cargo jets, with access to an additional five freighters operated by Mexico-based cargo subsidiary AeroUnion. It also has four leased A330-200 and A330-300 converted freighters on the way. One of each is expected to arrive in the first half of 2024 and the other two between the fourth quarter of 2024 and the first half of 2025.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2023-09-01/star/avianca2019s-new-cargo-focus-serves-it-well-in-soft-market
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Avianca’s new cargo focus serves it well in soft market
A focus on network expansion and multiple initiatives to improve customer service appears to be paying off for Avianca’s cargo division, which outperformed the vast majority of the air cargo sector in the first half amid an industrywide downturn. While most airlines saw cargo business tumble by a third to a half during the period, the Colombia-based carrier’s cargo revenues only contracted 17% from a year ago to $326m. Sales were 30% higher than budgeted because management anticipated the market normalizing after a supercharged two years of freight demand associated with pandemic distortions of the global economy. In 2022, Avianca transported more than 450,000 tons of cargo on freighters and 128 passenger jets, including large Boeing 787s. More than 50% of the airline’s transported cargo is flowers, fruit, vegetables, meat and other perishable goods. Avianca Cargo currently operates six factory-built Airbus A330-200 cargo jets, with access to an additional five freighters operated by Mexico-based cargo subsidiary AeroUnion. It also has four leased A330-200 and A330-300 converted freighters on the way. One of each is expected to arrive in the first half of 2024 and the other two between the fourth quarter of 2024 and the first half of 2025.<br/>
