Ten percent fewer travelers flew with Norwegian in May, new passenger figures from the airline show., reports the Norwegian newspaper Dagens Näringsliv.
During May, Norwegian carried a total of approximately 3.36 million passengers worldwide. This is 10 percent fewer than the same month last year.
The main reason is stated to be that the company has taken the accident-stricken aircraft model 18 Boeing 737 Max out of service and thereby shrunk its capacity.
Despite the loss, revenue rose in May. The airline's shift in focus from growth to profitability has borne fruit, says Norwegian CEO and founder Bjørn Kjos in a press release.
”The figures also show that passengers are traveling further and that unit revenue is higher this month than during the same time last year.”
Revenue per passenger kilometer increased by 8 percent compared to 2018.
Furthermore, Norwegian announces a loss of 177 million NOK related to contracts and options to hedge against operational outages and fluctuations in oil prices during the second quarter. The airline reports a further loss of 183 million NOK related to operational insurance.
Sparebank 1 Markets raises Norwegian to neutral (sell), reiterates target price of 35 Norwegian kroner – BN.
Source: di.se
