Asiana swings to net loss in Q1
[THE INVESTOR] Asiana Airlines, Korea’s second-biggest airline by sales, shifted to a net loss in the first quarter from a year earlier due to foreign exchange losses.
For the three months ending March 31, Asiana swung to a net loss of 5.4 billion won (US$5 million) from a net profit of 96.1 billion won a year earlier, the company said in a statement.
“A strong won drove up spending on jet fuel and the value of dollar-denominated debts in the first quarter,” a company spokesman said over the phone.
The dollar fell to 1,066.50 won at the end of March this year from 1,116.10 won a year earlier, data from the Bank of Korea showed.
Operating profit jumped to 64.3 billion won in the first quarter from 26.3 billion won the previous year. Sales climbed 9 percent to 1.589 trillion won from 1.457 trillion won during the same period, the statement said. The company’s quarterly operating profit was the largest in some three years and gained 144 percent from a year earlier.
The improved operating profit was mainly helped by increased travel demand on routes to Japan and Southeast Asian countries, it said.
By Song Seung-hyun and newswires (firstname.lastname@example.org)