Thursday, November 28, 2013

Adria’s numbers improve

Adria’s passenger numbers recover after five years

Adria Airways is on track to record its first annual growth in passenger numbers since 2008. The Slovenian national carrier handled 808.370 passengers during the first ten months of the year, a 2% increase compared to the same period last year. The result comes despite a 6% drop in flights. The airline’s average cabin load factor stood at 73.5%, an increase of five points on the same period in 2012. July, August and September proved to be Adria’s busiest months of the year with the airline handling 359.943 passengers. In August alone the Slovenian carrier saw its passenger numbers soar 17% while its average cabin load factor amounted to 81%.

More importantly, Adria recorded 700.000 euros in operating profit, an improvement of almost seven million euros compared to last year when it saw a 6.1 million euro loss. Its improved financial performance comes on the top of a 6.7% reduction in costs. Over the past few years the airline has undergone severe cost cutting measures which has seen it reduce its route network, fleet and passenger numbers but has ultimately improved its finances.

Adria has officially confirmed it has sold some of its property to Ljubljana Airport in an effort to offload unnecessary assets and raise capital. The contract involves a 2.357 square meter hangar, a 2.773 square metre apron and several workshops covering an area of 1.668 square metres. The price of the deal has not been disclosed. Several other assets, including its office building, flight school and a flight simulator, are still up for sale as there have been no interested buyers. Questions have been raised whether Adria’s latest deal with Ljubljana Airport is in breach of European Union competition laws since both companies are state owned. The European Commission is already investigating Adria for the sale of its maintenance division to Ljubljana Airport in 2011. However, Adria says the sale has been carried out in line with regulations.

Meanwhile, the tender for the expression of interest in Croatia Airlines came to an end at midnight. While the results are unlikely to be known for some time it is believed there has been little to no interest in the carrier, which could be a sign of things to come for Adria as it too plans to kick off its privatisation process soon.

26 comments:

  1. I am not an accountant but isn't the sale of their property part of their profit? Or did they record that profit because of good performance?

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    Replies
    1. Maybe airport authorities want to protect themselves just in case they go bust so that's why they bought the apron and the maintenance facilities.

      I do not see why would Adria sell the apron? They could have parked their aircraft free of charge there over night.

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    2. The results are based purely on the performance in the first 9 months. The properties were sold in November.

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    3. The sale of the property has nothing to do with the income statement (performance). It's only part of the balance. Capital assets became liquid assets. That's it.

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  2. Let's hope for good investor for Adria.

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    Replies
    1. Are you dreaming?
      Any serious investor working on the market base not based purely on cheating, showing/hiding data to look nicer than it is
      will never by this crap
      and all the mafia structure coming with it.

      It' monkey business for potential mafia style investors only.
      Sorry but true.
      Just wait and witness for yourself.



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  3. Any info on why Air Serbia's A319 aren't used on flights to Russia, which are their longest ones?

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    Replies
    1. Tel Aviv will also be operated by the A319 from January. They are about the same distance.

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    2. Is it because their 733 have a few more seats than the A319 and because they face less competition on the route to Moscow? I thought it's gonna be one of the first A319/A320 destinations.

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    3. They said that the first flight of the new company will be morning flight to Moscow and later on the same day flight to Abu Dhabi. But JUs A319 never flew to Moscow.

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    4. You are all right, B733 will stay to SVO untill January 2014.

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    5. January is also the period when they increase Athens to 10 weekly and Thessaloniki to daily.

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  4. OU and JP should merge, since noone wants to buy them

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  5. FRESH NEWS:
    No offer has been received for acquisition of Croatian air carrier.
    http://www.jutarnji.hr/nitko-ne-zeli-49-posto-dionica-croatia-airlinesa/1142956/
    Now it is very clear that there has not been any use of spinning, such as "big players are interested in ..", "profit recorded in 2013", "bright perspectives" and alike.
    Regards

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  6. Adria management and Government should very carefully analyze development of the privatization of Croatian Airlines (high hopes, spinning, creative accounting and fiasco!) and draw conclusions.
    Just for remainder: It is impossible to cheat all people all the time.

    ReplyDelete
    Replies
    1. Who said JAT? :)

      It was exactly the same...

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    2. psst
      Under the table news
      mafia made in Adria
      don't want to be privatized

      whatsoever they are talking loud it's just for pr (public relations)

      as long as tax payers money is given
      it's heaven for them.

      No one is immortal anyway.


      go rub a cunt Adria!



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  7. Management of Croatia Airlines released a statement that they are having talks with Adria about a subject of "merging those two airlines"

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    1. This is going to be fun to watch.

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    2. Purger, what are possible results of this failure to sell a stake in OU?

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    3. Hmm I do not see how this can work out in the end. It's stupid, Croatia Airlines is the bigger airline, with a greater market and it should not stoop to the level of Adria.

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    4. I did not post this comment, and it is not true that Adria and Croatia will start talks about merging.

      Consequences? None. Minster embarrass himself, country and national company, CEO is happy as he was not for that plan and he find himself as only possible man to save CTN, Croatia will spend 100 million EUR on restructuration. And CTN will stay Lufthansa slave, even bigger than before. Future: CTN will become Croatian Dolomiti, perhaps they should thing to change name to Velebit Air, or Sljeme Air.

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  8. easyJet will launch two weekly Hamburg-Split from June 2014.

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  9. ADRIA Flying Frankfurt-Tirana Direct Flights starting summer of 2013, KUDOS Adria! They know the Adriatic coast has much Potential for Growth in the future, KUDOS ADRIA for taking the Lead as a frequent traveller to Rinas I know you are the Preffered airline by many in Albania!!

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