The JAL Group has reported rather bleak consolidated
financial results for the first quarter of the fiscal year 2009,
from April 1 through to June 30, 2009.
With the pandemic threat of the Swine Flu
(H1N1) occurring within this reporting period which is also the
first April-June period since the economic downturn, operating
conditions compared to a year before are starkly harsher.
Reflecting these circumstances, first and
business class traffic was significantly down due to cutbacks in
the number of business trips or downgrades to economy class
business travel, and leisure demands were weak especially after
the outbreak of the influenza in May.
The operating revenue of JAL's core
business segment, the air transportation segment, was a
year-on-year decline of 137.2 billion yen at 290.9 billion yen.
Consequently, in contrast to the 3.4 billion yen income achieved
in this business category the same period last year, an operating
loss of 84.2 billion yen was recorded this quarter.
The air-related and travel-related business
segments of the JAL Group too, suffered from the effects of the
world economy and outbreak of the Swine Flu and both segments
posted a combined operating loss of 2.7 billion yen.
card and leasing companies of the group showed deteriorated
earnings versus previous year due to slow growth in transaction
volume, but achieved an operating income of 1.3 billion yen
brought about by an increase of 60,000 cardholders.
Overall, JAL's operating revenue for the three-month period is
334.8 billion yen, 155.4 billion yen down from the year before.
All operating cost categories in the air transportation
segment were reduced through the group's rigorous implementation
of cost cutting measures, with the exception of aircraft
depreciation which remained close to the year before due to the
introduction of more fuel-efficient aircraft.
were seen in the areas of fuel costs and commissions which were
respectively down by 10.6 billion yen and 11.3 billion yen. As a
combined result of cost cuts in other business segments, the group
managed an overall reduction of 65.4 billion yen in operating
expense from 486.4 billion yen last year to 421 billion yen.
The respective operating and ordinary loss reported for this
quarter is 86.1 billion yen and 93.9 billion yen. Compared to the
same period last year, this represents 90 billion yen down from
the 3.9 billion yen operating income, and 94.7 billion yen down
from the 0.7 billion yen ordinary income posted. The ensuing loss
for this quarter is 99 billion yen, 95.6 billion yen more than the
loss incurred last quarter.
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