Air New Zealand announces record annual results
AUG 27, 2015: Air New Zealand has announced its 2015 annual result with normalised earnings before taxation of $496 million for the 2015 financial year, an increase of 49 percent on the prior year. Statutory earnings before taxation were $474 million, while statutory net profit after taxation was $327 million, an increase of 24 percent. Capacity growth supported by strong demand, cost efficiencies and lower fuel prices has driven a year of significant earnings growth. Very strong operating cash flow of $1.1 billion was up 51 percent on the prior year. The Board has declared a fully imputed final ordinary dividend of 9.5 cents per share, an increase of 73 percent on the prior year, resulting in a 2015 full year ordinary dividend of 16.0 cents per share, an increase of 60 percent on the prior year. “Our strategic initiatives over the past three years have positioned us well to take advantage of market dynamics which have contributed to these results,” Chairman Tony Carter said. “Our investment in new efficient aircraft, the continued development of our alliance partner relationships, world class sales and marketing execution, great customer service and strong focus on cost management have enabled Air New Zealand to achieve revenue growth against a stable cost base. We indicated at our interim result that lower fuel prices and current sales momentum have strengthened the company’s outlook, and this has seen the delivery of a record annual result that our shareholders and staff can be immensely proud of,” Carter added. Chief executive officer Christopher Luxon says a continued focus on superior commercial results, enhancing the customer experience and further developing the airline’s people and culture have resulted in a terrific 2015 financial year across all three of these commitments. “We remain focused on the Pacific Rim as our growth strategy and will continue to provide the best connections, product and service at competitive prices, to maintain and grow our market share in these regions. Next year will see further capacity growth in international markets as we look forward to new routes starting in December 2015 to Houston and Buenos Aires. And while we are gearing up to launch these exciting new routes we have a team assessing potential new opportunities in Australia, Asia and the Americas,” Luxon said.