Nok Air’s consolidated losses in the January-March 2018 period narrowed significantly to 26.9 million baht (US$843,505) from 295.6 million baht in the same period of last year, which it attributed to marketing efforts to capture several market segments, stricter cost control and productivity enhancements.
Despite the 23.3 per cent rise in fuel costs, revenue grew by 5.6 per cent from the same quarter of last year to 4.3 billion baht as average cost per seat declined; cabin factor improved 6.1 percentage points to 93.8 per cent; and passengers carried increased to 2.52 million, up 3.83 per cent.
Notably, passenger numbers on the Chinese routes jumped 149.57 per cent to 235,363, up from 94,308, as the airline boosted its Chinese coverage to 19 cities from eight in the same quarter of 2017.
As a result, contribution of revenue from the Chinese operation to the airline’s overall income was at 19.8 per cent, compared to 7.5 per cent in the same quarter last year.
The quarter saw Nok Air increase aircraft utilisation by 21.5 per cent to 10 hours per aircraft per day from 8.2 hours, contributing to higher productivity.
At the end of the quarter, Nok Air operated a fleet of 29 aircraft, down from 31.3 a year ago. The airline added two domestic routes in the first quarter to a total of 25, while its international scheduled routes remained unchanged at three.