Business News
SAS back in black in second quarter amid cost-cutting
Aug 17, 2011, 6:52 GMT
Stockholm - The SAS Group, operator of the joint carrier Scandinavian Airlines, Wednesday reported a net profit for the second quarter of 2011, citing cost-cutting efforts and more passengers.
The net profit of 551 million kronor (86 million dollars) compared to a net loss of 502 million kronor in the same quarter last year.
Turnover in the quarter rose from 9.9 billion kronor to 11.2 billion kronor year-on-year.
The second quarter 'was the strongest since 2008,' chief executive Rickard Gustafson said.
In its Nordic home base, capacity - and competition - continued to grow.
Despite uncertainties such as how fuel prices and the global economy develops, the group said it still hoped to report a pre-tax profit for the full year.
The group flew 7.3 million passengers during the quarter, up almost 18 per cent year-on-year.
SAS said it was concluding its cost-saving programme, known as Core SAS, launched in 2009. The programme was expected to yield savings of 1 billion kronor in 2011-2012.
The SAS Group had some 15,200 employees at the end of June, down from 15,700 year-on-year.
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