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Airways New Zealand Announces $13.8 Million Half Year Loss

Published: Tue 2 Mar 2021 12:40 PM
Airways New Zealand today announced its interim results for the half year ending 31 December 2020. The air navigation services provider has recorded a half year loss of $13.8 million, while safety performance remained strong.
Domestic air traffic levels improved more quickly than expected from July to December, reaching 80 per cent of pre-pandemic levels by the end of the period. Along with limited continuing international flights, these traffic levels equate to approximately 56 per cent of pre-pandemic revenue for Airways.
Airways’ financial result reflects the Covid-19 driven challenges currently facing the aviation industry, CEO Graeme Sumner said.
“While the domestic market is showing encouraging signs of recovery, our core revenue streams continue to be significantly affected,” he said. “Any marked improvement for Airways will come as international travel recovers, and this is forecast to still take some time even with the arrival of Covid-19 vaccines.”
Importantly, Airways maintained its solid safety record over the six months, with no near collision events in controlled airspace and no serious harm injuries involving our people.
Mr Sumner said Airways’ focus for the period has remained on delivering sound operational and safety performance, while moving ahead with initiatives that will be building blocks in Airways’ recovery and the aviation industry’s pathway back to growth.
“Credit for this must go to our people who have shown a great deal of resilience in continuing to carry out their roles to the highest standard despite the uncertain times we’ve found ourselves in," he said.
Airways’ capital investment programme remains constrained with only investments in systems and technology that have been identified as being critical to maintaining safe services able to go ahead.
“Other important initiatives like our digital tower and technologies development programme remain a priority for our future, but it is necessary for them to be put on hold for now.” Mr Sumner said.
Airways International Limited (AIL) has continued to be been less affected by the Covid-19 crisis, achieving a NOPAT of $2.7 million for the half year. AIL is the commercial arm of Airways that delivers air traffic management consultancy services, training, and technology products worldwide. Through a shift to digital delivery platforms, AIL has continued to sign new international deals and achieve milestones in global projects since the onset of the pandemic.
“AIL is playing an integral role in Airways’ recovery and will play an important role in supporting future growth for our core business,’’ Mr Sumner said.
Airways New Zealand
Making your world possible
Airways looks after air traffic throughout NZ; at control towers located at main trunk and regional airports; at NZ's military bases and in our two radar centres in Auckland and Christchurch. We work with government, regulatory authorities, airlines, airports and the general aviation community to ensure pilots, passengers and goods reach their destination - safely.
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