Air Malta presented its Annual Report and Consolidated Financial Statements for year ended on Mar. 31st, 2017, during which the operations of the airline company reported a loss of €13.1m.
During the year under review the airline experienced a decrease of €28.3m in revenue when total revenue amounted to €192.2m compared to €220.5m a year before, mainly driven by a capacity reduction of 20%.
The airline's operational costs decreased by €20.6m. The decrease in operating costs was driven by lower aircraft leases, fuel costs and related maintenance expenses, efficiency gains and savings on a number of contracts and administration expenses.
However, the former fuel hedging contracts were in place for much longer than those of competitors. The airline was not in a position to benefit from lower fuel prices in the reported financial year commented Air Malta's CFO, K. Gossler during a press briefing announcing the results.
Over the last few months, the airline has been focusing on a revenue growth strategy including a review of its route network; a strategy which the airline embarked upon soon after the appointment of the new Board chaired by Dr C. Mangion in July this year.
The Board approved a new three-year Business Plan starting as of April which is projected to see break-even by March 2018. (Source: independent.com.mt, 7-Dec-2017)