Etihad Airways Reports $1.28 Billion Loss In 2018

Etihad mentioned it slashed prices by $416 million in 2018 because it lower its workforce by 5 per cent to 21,85

Abu Dhabi: 

Etihad Airways on Thursday reported its third consecutive annual loss regardless of discovering price financial savings of almost half a billion {dollars} because it lower its workforce and fleet.

The Abu Dhabi state-owned airline blamed difficult market situations together with greater gasoline costs for a $1.28 billion loss in 2018, narrower than the $1.58 billion it misplaced in 2017.

Etihad, which has trimmed its ambitions to be a significant intercontinental airline to deal with point-to-point flights, has made losses of $4.75 billion since 2016.

Revenue fell almost Four per cent to $5.86 billion final yr, in contrast with the $6.1 billion it reported for 2017.

The airline launched a five-year turnaround technique in 2017, the yr present chief government, Tony Douglas, was employed.

“In 2018, we continued to forge ahead with our transformation journey by streamlining our cost base, improving our cash flow and strengthening our balance sheet,” Mr Douglas, mentioned in a press release.

Etihad mentioned it slashed prices by $416 million in 2018, or 5.5 per cent, because it lower its workforce by 5 per cent to 21,855.

The variety of passengers carried fell by 4.three per cent to 17.eight million because it lower the variety of plane in its fleet by 9 and stopped flying to a number of routes it mentioned have been unprofitable.

Etihad has been rethinking its business since 2016 after piling billions of {dollars} right into a failed technique of shopping for minority stakes in different airways.

Dozens of plane orders with Airbus and Boeing value billions of {dollars} have since been cancelled.

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