Croatia Airline reports major loss in profit

The Croatia Airlines Group has, in the first quarter of this year, reported a profit of 823 thousand Kuna (just over 114 thousand Euros) while in the same period last year it had a profit of 30.2 million Kuna (4.1 million Euros). The 97% decrease in profit has, according to Croatia Airlines management, been caused by an increase in costs due to increased capacity. The management says that one must remember the purchase of new Bombardier aircraft and the increase in the price of fuel. The fuel increase has cost the airline 59.3 million Kuna. Croatia Airlines has increased the number of sold tickets within the country by 27% (at 259.03 million Kuna) while international sales have fallen by 1.3% to 479.9 million. The total expenditures of the Croatia Airlines Group this year stands at 850.25 million Kuna which is an increase of 19.3% compared to last year. Furthermore operational costs have increased by 20.67%. The most significant expenditure, as expected, is fuel which increased by 57%.

The results are nothing better for Slovenia’s national airline which will experience a financially difficult year again despite a strong start to the year and an increase in the number of passengers. You will be able to read about this in more detail tomorrow.
On Saturday there will also be news posted regarding the Jat Airways privatisation with two new surprising potential bidders. Stay tuned!