THAI Announces Financial Results 1998/99

Thai Airways International Public Company Limited announced the airline’s financial results 1998/99, beginning October 1998 to September 1999.

Mr. Amnuay Chanya, THAI’s Executive Vice President, Finance and Information Technology, announced THAI’s 1998/99 financial results (OCT98-SEP99) that the airline had an operating revenue of 107,653 million baht, a pre-tax profit of THB 6,393 million baht which was an increase of 1,124.46 million baht compared to the same period last year. Earnings per share reached 3.79 baht compared to the 2.81 baht during the same period last year.

THAI achieved an increase of 1,379 million baht net operating revenue due to loss in the exchange rate resulting from adjustment of company foreign loans which amounted to 8,053 million baht compared to the 5,379 million baht during the same period last year. Cabin factor was calculated at 72.7 per cent compared to 67.9 per cent during the same period last year which is an increase of 4.8 per cent. There was also a reduction of 1,768 million baht expenses on aircraft fuel compared to the same period last year, the result of fuel cost reduction. Part of the profit also arrived from aircraft sales, which accounted for 2,608 million baht in profit as well as the adjustment of the airline’s policy in calculating the costs of aircraft and engine depreciation. Previously the life-time age of aircraft and engines was approximately 14 years. This has currently changed to 20 years in order to remain closer to the actual aircraft utilization age, creating a decrease in depreciation by 3,303 million baht.