Asiana Airlines operating profit falls

Asiana Airlines, a large Korean airline, has seen their operating profit sink year-on-year for Q2 of 2011, but the revenue and net profit world have been different. Asiana Airlines saw its operating profit decline by 64.1% to USD 46 million from 128 million as their operating expenses increased due to rising oil prices.

On the other hand its revenue headed in the right direction, rising 6.6% to USD 1.2 billion compared to a year ago. The rise has been attributed to steady growing demand. Also the company’s net profit soared to USD 16 million, compared to a loss of USD 4.29 million last year.

Although there has been slack in the Japan trade demand due to the great east Japan earthquake, its RPK (Revenue Passenger Kilometer) climbed by 3.5% for the same period a year ago because of increased passenger-traffic from China and Southeast Asia. Asiana’s FTK (Freight Ton-Kilometer) also grew by 5% compared with last year due to soaring supply and import volumes despite a decrease in IT cargo exports. <Korea Shipping Gazette>