Finnair : traffic performance

[kenyaprince]

Number of passengers grew 11.2% year-on-year
Finnair Plc Stock Exchange Release 9 November 2015 at 09:00 EET
In October, Finnair's overall capacity measured in Available Passenger Kilometres grew by 4.2 per cent and traffic measured in Revenue Passenger Kilometres grew by 6.8 per cent year-on-year. The passenger load factor increased by 1.9%-points to 81.4 per cent.
The capacity in Asian traffic decreased in October by 3.1 per cent, while traffic measured in Revenue Passenger Kilometres increased by 0.1 per cent year-on-year on the back of high passenger load factor. In particular, the capacity decrease reflects comfort-improving cabin changes made across the wide-body fleet last winter and a reduction in Hong Kong frequencies for the winter season. Meanwhile, the pronounced growth in American traffic from a low base level reflects the fact that, in contrast with last October when Finnair only flew to New York, in early October 2015 there were also flights to Chicago and Toronto, and in late October to Miami.
The capacity in European traffic grew by 4.1 per cent and traffic measured in Revenue Passenger Kilometres grew by 7.0 per cent year-on-year. The capacity growth reflects, among other things, the change of certain European charter flights into scheduled traffic and new summer season routes. Familiarisation flights on the new A350, which is larger than the regular aircraft in Finnair’s European traffic, contributed temporarily over one percentage point to both capacity and traffic growth.
At the same time, the growth in domestic traffic is mainly attributed to the transfer of the flights previously operated at Norra’s own commercial risk to Finnair’s purchased traffic. The passenger load factor in domestic traffic declined by 0.7 percentage points to 63.5 per cent.
In October, the cargo capacity in scheduled traffic measured in Available Tonne Kilometres grew by 11.0 per cent, and Revenue Tonne Kilometres increased by 3.2 per cent year-on-year. The cargo load factor in scheduled traffic was 58.3 per cent. The overall cargo figures reflect a structural change from the comparison period, as Finnair withdrew from the use of leased NGA freighter aircraft capacity in Asian traffic. In contrast with the previous months, Finnair’s capacity included shared freighter flights with IAG twice a week between Helsinki and London commencing in mid-September.
In October, 92.9 per cent of all Finnair flights arrived on schedule (92.3).
Traffic statistics for November are published on Wednesday, 9 December 2015.
Finnair Traffic Performance October 2015

	October 2015	%-Change	Year-to date 2015	%-Change
Total Traffic
Passengers 1000	933,5	11,2	8 695,4	6,1
Available seat kilometres mill	2 789,3	4,2	26 709,7	2,1
Revenue passenger kilometres mill	2 269,3	6,8	21 668,7	2,4
Passenger load factor %	81,4	1,9 p	81,1	0,3 p
Cargo tonnes total	12 653,9	-2,5	108 045,2	-13,8
Available tonne kilometres mill	404,9	1,6	3 890,5	-1,1
Revenue tonne-kilometres mill	277,6	0,9	2 590,6	-2,6
Overall load factor %	68,6	-0,5 p	66,6	-1,0 p
Europe
Passengers 1000	592,1	8,5	5 472,9	6,2
Available seat kilometres mill	1 193,2	4,1	10 972,0	5,1
Revenue passenger kilometres mill	951,5	7,0	8 659,8	4,5
Passenger load factor %	79,7	2,2 p	78,9	-0,4 p
North Atlantic
Passengers 1000	24,1	59,6	225,8	18,4
Available seat kilometres mill	195,0	68,1	1 839,9	22,2
Revenue passenger kilometres mill	163,9	63,5	1 556,7	19,4
Passenger load factor %	84,1	-2,3 p	84,6	-2,0 p
Asia
Passengers 1000	142,9	0,4	1 421,8	-1,4
Available seat kilometres mill	1 275,0	-3,1	12 736,8	-3,1
Revenue passenger kilometres mill	1 073,8	0,1	10 664,9	-1,7
Passenger load factor %	84,2	2,6 p	83,7	1,2 p
Domestic
Passengers 1000	174,4	27,7	1 575,0	11,8
Available seat kilometres mill	126,1	28,7	1 160,9	8,3
Revenue passenger kilometres mill	80,1	27,3	787,3	10,9
Passenger load factor %	63,5	-0,7 p	67,8	1,6 p
Cargo Traffic
Cargo scheduled traffic total tonnes	10 958,1	4,6	94 406,2	-2,3
Europe tonnes	2 441,7	11,5	17 820,9	-10,9
North Atlantic tonnes	743,7	37,5	6 675,9	5,9
Asia tonnes	7 593,8	0,1	68 479,0	-0,5
Domestic tonnes	179,0	8,2	1 430,4	-4,1
Cargo flights, tonnes**	1 695,7	-32,3	13 639,0	-52,6
Cargo tonnes total	12 653,9	-2,5	108 045,2	-13,8
Available tonne kilometres* mill	121,2	0,5	1163,0	-4,0
Revenue tonne kilometres mill	74,6	-6,2	651,9	-15,0
Available sched.cargo tonne kms*, mill.	113,2	11,0	1086,3	10,3
Revenue sched.cargo tonne kms, mill.	65,9	3,2	584,0	-0,8
Cargo load factor* %	61,6	-4,3 p	56,1	-7,2 p
- North-Atlantic cargo load factor* %	39,7	-4,2 p	39,5	-12,4 p
- Asia cargo load factor* %	64,8	-2,0 p	58,1	-4,3 p
Scheduled traffic Cargo load factor*, %	58,3	-4,4 p	53,8	-6,0 p

* Operational calculatory capacity
** Including purchased traffic
– Change %: Change compared to the figures of the respective periods in the previous year (p = percentage points)
– Available seat kilometres, ASK: Total number of seats available, multiplied by the number of kilometres flown
– Revenue passenger kilometres, RPK: Number of revenue passengers carried, multiplied by kilometres flown
– Passenger load factor: Share of revenue passenger kilometres of available seat kilometres
– Available tonne kilometres, ATK: Number of tonnes of capacity for carriage of passengers, cargo and mail, multiplied by kilometres flown
– Revenue tonne kilometres, RTK: Total revenue load consisting of passengers, cargo and mail, multiplied by kilometres flown
– Overall load factor: Share of revenue tonne kilometres of available tonne kilometres

 

[kenyaprince]

[h=1]Finnair prepares for growth in its long-haul traffic - additional capacity in European feeder traffic already for summer season 2016[/h]As Finnair stated in its interim report last month, the company is planning to increase the capacity in its European feeder traffic with a view to the growth of its long-haul capacity. As the first step, Finnair will temporarily lease two A321 narrow-body aircraft including part of the flight crew. The company is also assessing its alternatives for acquiring permanent additional narrow-body capacity.

Finnair's traffic consists largely of transit traffic between Europe and Asia or America, with a transfer in Helsinki. Finnair's present narrow-body fleet used in its European traffic is already efficiently utilised, and the passenger loads are high. Therefore, growth in long-haul traffic also necessitates growth in feeder capacity between Helsinki and Europe.

The additional feeder traffic capacity required by the growing long-haul traffic will be acquired by replacing small narrow-body aircraft with larger ones. Hence the company is planning to downsize its Embraer fleet and retire one ATR aircraft. Initially, the necessary capacity will be replaced by leasing two Airbus aircraft. Finnair will receive these aircraft for one year from May 2016 onwards.

Finnair is also preparing to acquire permanent additional narrow-body capacity, and it is assessing the best alternatives for growth. Finnair has already begun recruiting both pilots and cabin crew.

- We are adding some capacity to our feeder traffic by upgauging our aircraft size in order to enable our growth. At the same time, some of our traffic is still served most economically by smaller aircraft. Norra continues to have a key role as the operator of regional traffic, and it continues to carry a considerable share of Finnair's European traffic, comments Finnair CEO Pekka Vauramo.

Finnair took delivery of its first A350-900 XWB aircraft on 7 October 2015, and according to the currently anticipated delivery schedule, it will have five A350 XWB aircraft at the beginning of the second quarter of 2016, seven by the end of 2016, 11 by the end of 2017, and 19 by the end of 2023. Some of the new A350 aircraft will increase the number of aircraft operated by Finnair, while some will replace wide-body aircraft with a lower passenger capacity.

Finnair's strategic objective is to double its traffic between Asia and Europe by 2020 from the 2010 level. The strategy is based on the growing markets in Asia, fast connections between Europe and Northeast Asia, quality service, and cost-efficient, punctual operations.