Finnair’s second-quarter results were strong, driven by continued strong travel demand and successful implementation of the company’s strategy.
Revenue increased by 36.2% to €749.2 million, and the comparable operating result was €66.2 million.
The strong results were supported by a number of factors, including a balanced network that captured demand from both leisure and business travelers, successful pricing and sales efforts, followed by sensible cost-control measures.
Finnair’s Long-Term Outlook Looking Much Better…
The long tail of the pandemic was visible as capacity bottlenecks in global aviation.
However, Finnair has been able to successfully address these challenges and improve its longer-term outlook.
The company now expects to reach its previous strategic profitability target of 5% by the end of 2023, 12-18 months earlier than previously estimated.
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Finnair has also raised its strategic profitability target to 6% by the end of 2025.
CEO Topi Manner thanked customers and employees for their support in the second quarter. “I want to thank our customers for allowing us to be part of their journey also this summer.”
“At the same time, I would like to thank our entire personnel for their excellent work and commitment to ensure smooth journeys and safe operations every day, on every flight.”
Finnair also introduced a new ticket type and changes to baggage allowances in the second quarter.
The new ticket type, called Superlight, is designed to offer customers more choice and flexibility. Finnair also completed a long-term lease agreement for A330s with its oneworld partner Qantas.
This agreement will allow Finnair to profitably deploy its A330 aircraft, which are currently not being used to their full potential.
Overall, this highlights how well the carrier is doing in terms of adapting to external pressures moving forward.
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