TOKYO: Japan Airlines' annual net profit plunged nearly 65 per cent, the company said Thursday (Apr 30), as it faced the "unprecedented" impact of the coronavirus pandemic on aviation demand.
JAL said net profit for the fiscal year ending in March fell 64.6 per cent to ¥53.4 billion (US$500 million) on annual sales of ¥1.4 trillion, down 5.1 per cent.
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The results were largely in line with a profit warning the airline issued last week.
JAL said demand had plunged owing to entry bans around the world, the cancellation of major domestic events, and a state of emergency in Japan with authorities urging citizens not to travel.
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"Our group is facing an unprecedented situation," the company said in a statement.
The airline did not release earnings forecasts for the current financial year, citing uncertainty over the pandemic.
For now, JAL plans to cut its number of flights by 90 per cent on international routes and more than 60 per cent on domestic routes from its flight schedule announced before the pandemic.
But the firm said it remained optimistic about the outlook.
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TOKYO: Japan Airlines' annual net profit plunged nearly 65 per cent, the company said Thursday (Apr 30), as it faced the "unprecedented" impact of the coronavirus pandemic on aviation demand.
JAL said net profit for the fiscal year ending in March fell 64.6 per cent to ¥53.4 billion (US$500 million) on annual sales of ¥1.4 trillion, down 5.1 per cent.
Advertisement
Advertisement
READ: AirAsia to halt Airbus deliveries and review orders amid COVID-19 outbreak
READ: COVID-19: Safe distancing on aircraft and higher ticket prices could be 'new normal' for industry, say analysts
The results were largely in line with a profit warning the airline issued last week.
JAL said demand had plunged owing to entry bans around the world, the cancellation of major domestic events, and a state of emergency in Japan with authorities urging citizens not to travel.
Advertisement
Advertisement
"Our group is facing an unprecedented situation," the company said in a statement.
The airline did not release earnings forecasts for the current financial year, citing uncertainty over the pandemic.
For now, JAL plans to cut its number of flights by 90 per cent on international routes and more than 60 per cent on domestic routes from its flight schedule announced before the pandemic.
But the firm said it remained optimistic about the outlook.
