Virgin Atlantic almost doubles its pre-tax profits
Virgin Atlantic almost doubles its pre-tax profits - Heathrow Airport News
Airport news for Heathrow on 28/05/2009.
Virgin Atlantic is bucking the trend of airlines reporting losses and reduced passenger numbers. Figures released recently show that pre-tax profits for the year ending February 2009 show a massive climb to £68.4 million from a relatively low £34.8 million.
The airline has recently seen an increase in its more profitable business and first class sectors, and an overall increase of 8.4 per cent in passenger numbers, while British Airways reported a slump of 13 per cent in these premium-rated seats.
“The last financial year has proven to be the most volatile yet in our 25-year history. To increase profits against a backdrop of such a severe recession is an excellent achievement by all of our staff at Virgin Atlantic”, said Sir Richard Branson, founder of Virgin Atlantic.
Last year, Virgin Atlantic spent almost £1 billion on fuel alone but says a lot of its profits were made on hedging the oil prices, which fluctuated between $38 and a massive $147 a barrel.
“The outlook for 2009/10 was likely to be better for airlines, amid signs that fuel prices were more stable now than last year and the pound had recovered against the dollar”, said Tony Dixon, Editor of Airliner World magazine.