Malév to break even at operating level in 2006
Tuesday, May 2, 2006, 15:59
Hungarian airlines Malév Zrt expects to break even at the operating level in 2006, and targets pre-tax profit of Ft 1.6 billion, a Ft 2.9 billion improvement from the same period in 2005, CEO János Gönczi said.
Malév's business plan for 2006 targets an 11% increase in revenue from ticket sales over 2005's Ft 97 billion, and a Ft 1.5 billion decrease in costs from last year's Ft 120 billion.
In the first quarter of 2006, Malév's revenue from passenger turnover increased 15% compared to the same period a year earlier, Gönczi said. The effect of Malév's membership in the oneworld alliance of airlines, expected to be finalized at the start of 2007, is already helping revenue: load factor on Malév's code share flights improved 4.3 percentage points in 2006, and a similar improvement is expected in 2007, Gönczi said, adding that at least half of revenue from ticket sales on code share flights is profit. Malév's overall load factor increased 2.2 percentage points to 66.6% in 2005.