HELSINKI (Reuters) – Finland’s national carrier Finnair on Friday posted its first positive quarterly comparable operating profit since the final quarter of 2019, although its net result remained in the red.
Last month, the airline announced a new strategy in order to return to profitability after being hit by a triple blow from the COVID-19 pandemic, Russian airspace closure and high fuel prices.
Finnair began seeking new commercially-feasible routes after the closure of Russian airspace due to the war in Ukraine cut off its previously lucrative Asian connections via a short northern route.
The airline reported a comparative quarterly operating profit of 35.2 million euros ($35.1 million) for the third quarter, compared to a 109.1 million euro loss a year earlier.
“Nonetheless, the result for the period was still negative, -37.2 million euros, due to high financial expenses resulting from heavy indebtedness and exchange losses caused by the strong dollar,” Finnair’s Chief Executive Topi Manner said in a statement.
Revenue increased by 261% in July-September from a year earlier to 719.2 million euros, the company said.
Finnair has said it is trying to build a geographically more balanced network by increasing cooperation with partner airlines as well as by adding more flights to India, the Middle East and North America via its home hub Helsinki.
($1 = 1.0021 euros)
(Reporting by Anne Kauranen in Helsinki, editing by Terje Solsvik and Susan Fenton)
