Air Berlin CEO bemoans impact of aviation tax on 3Q results
Air Berlin has recorded a 44 per cent drop in pre-tax profit, posting €97m ($131m) in the 3Q.
Revenues increased by just over 10 per cent to €1.4bn and Air Berlin says that without aviation tax, EBIT would have totalled €148m. Earnings in the year-ago period totalled €172m. Seat load factor increased slightly in 3Q 2011, as did yield, excluding aviation tax, while capacity dropped by a small margin to 13.4m seats. Net profit decreased 78 per cent to €30m. Air Berlin’s total equity currently stands at 14 per cent, compared with 21 per cent last year, while net indebtedness amounts to €644m (€489m in 2010). Hartmut Mehdorn, Air Berlin CEO, appealed for the scrapping of aviation tax, saying it was damaging Germany’s low-cost airlines, and adding, “Due to the tough competition, it is impossible to pass on the tax to the customers.” ($1 = €0.74)
