Croatia Airlines recorded a net loss of 94.2 million kuna in the first nine months of this year, according to the consolidated financial report of Croatia Airlines published on the Zagreb Stock Exchange.
In the same period last year, the net loss of Croatia Airlines amounted to 22.2 million kuna. Croatia Airlines transported 1.38 million passengers in the first nine months of this year, which is six percent less compared to 2008, and this decline also includes a significant drop in charter sales caused by the simultaneous strategic implementation of a change in the company’s business model towards a predominantly scheduled network carrier less exposed to seasonal fluctuations that are typical in charter operations, the Management’s commentary on the report states. It adds that the decline in Croatia Airlines’ traffic is smaller compared to airlines in many European Mediterranean countries, which are recording double-digit declines.
The Management emphasizes that given the serious impact of the crisis on the tourism sector and travel, as well as the reduction in passenger traffic and cargo transport, Croatia Airlines has implemented various rationalization and cost-saving measures throughout the year and has abandoned investments not related to core operations, maintenance, and safety, with a total planned savings effect of approximately 93.7 million kuna annually, of which 75 million kuna was achieved in the first nine months. Revenue from passenger traffic for Croatia Airlines in the first nine months is down 18 percent compared to the plan and 17 percent compared to the same period last year. At the same time, cargo transport revenues decreased by 20 percent from planned and 27 percent from achieved.
