Air Serbia registers €21.3 million loss in 2021
Air Serbia has reported a loss of 21.3 million euros during the pandemic-stricken 2021, an improvement on the year before, when the loss amounted to just over 77 million euros. Revenue generated from scheduled flights amounted to 145.9 million euros, while charter services generated a further 37.7 million euros. The carrier’s biggest expense was aircraft maintenance, amounting to 42.4 million euros, followed by handling costs, which set the airline back seventeen million euros. During the year, Air Serbia repaid in full its second and final loan to Etihad Airways Partners BV, a special purpose vehicle set up by Etihad Airways in September 2015 to raise funds for itself and its equity partners. The loan amounted to 63 million US dollars. The airline did not take out any new loans last year.
During 2021, Serbian nationals were restricted from entering many European markets due to the Covid-19 pandemic, impacting the airline’s performance. In its 2021 financial report, the carrier said, “Following the complete suspension of commercial operations during the first quarter of 2020, demand for travel in the Republic of Serbia began to gradually recover in May 2020 and continued to do so throughout 2021 but is still limited, which is why full recovery is dependant on the stabilisation of air travel in Europe and the world”. It added, “The company’s management focused on reducing risks through restrictive cost management, optimising capacity in the face of a historic decline in demand, cash conservation by reducing planned investments, negotiations with suppliers for improved payment terms, implementing initiatives to reduce working capital and optimising human resources”.
| Year | Net profit / loss (million €) |
|---|---|
| 2013 | ▼ 73 |
| 2014 | ▲ 2.7 |
| 2015 | ▲ 3.9 |
| 2016 | ▲ 0.9 |
| 2017 | ▲ 16.0 |
| 2018 | ▲ 12.3 |
| 2019 | ▲ 9.5 |
| 2020 | ▼ 77 |
| 2021 | ▼ 21.3 |
From January 1, 2021, until December 31, 2021, Air Serbia was forced to cancel 4.933 flights because of the pandemic, which resulted in reduced revenue. In comparison, during 2020, the carrier cancelled 23.079 flights. As previously reported, the Serbian airline achieved solid operational results in 2021, with its figures above the European industry average. It carried 1.586.665 passengers last year, representing an increase of 83% on the year before, with the airline’s average annual cabin load factor standing at 64%. The carrier’s traffic volume grew 39% compared to 2020 but was down 35% on the pre-pandemic and record-breaking 2019. Its best performing routes in 2021 were New York, Moscow, Tivat, Paris, Podgorica, Zurich, Istanbul, Amsterdam, London and Athens. During 2021, Air Serbia Cargo registered its best results on record with its performance surpassing the pre-pandemic period by as much as 55%.
0 Response to "Air Serbia registers €21.3 million loss in 2021"
Post a Comment