The Cyprus Airways Group recorded net profit after tax of 10.7 million British pounds ($17 million) in comparison to £2,4 million in 2001. Total Group revenue, excluding Duty-Free Shop operations, reached £185.4 million in 2002 in comparison to £178.3 million in 2001.
The increase in revenue is the result mainly of the increase in the number of passengers carried, by 8.5 percent. This increase was achieved despite the decrease of tourist traffic to Cyprus and came as a result of the increase in the seat capacity offered to the market, in an effort to fill the void left by other airlines.
This effort, which was assisted by the strengthening of the Cyprus Airways fleet with the addition of two new A319 aircraft one in April and one in July 2002, brought positive results since there was an increase in the load factor of Cyprus Airways by three percentage points to 73.1 percent in 2002 in comparison to 70.1 percent in 2001.
The Cyprus Airways Group will complete the renewal of its fleet in 2003, with the delivery to Cyprus Airways of the second A330 aircraft in April 2003.
The uncertainty which has resulted from the possibility of a war in Iraq, has adversely affected the tourist industry, which had already been negatively affected from the terrorist attack of 11 September 2001 as well as from the general economic recession affecting many European countries.
Although the Group has prepared an action plan in case of a war, it is very difficult to make any safe forecast for the prospects of 2003. — (menareport.com)
© 2003 Mena Report (www.menareport.com)
