October 16, 2008

Aeroflot Reports 55% Drop in H1 Profit

Russian airline Aeroflot has reported a net profit of $72.2 million, as per International Financial Reporting Standards, for the first six months of 2008, a decrease of 55.2% or $89 million, compared to the same period of 2007.

The airline's consolidated revenues for the first six months of 2008 increased 28.4% or $473.1 million, compared with the corresponding period in 2007. Operating expenses increased 42.1% or $593.1 million to $2 billion for the first six months of 2008.

Mikhail Poluboyarinov, deputy general director for finance and planning at Aeroflot, said : "The decrease in the net profit is related to the jump in the prices on air fuels and lubricants."