Norwegian slips into red for financial 2017 as expansion continues apace

Norwegian slips into red for financial 2017 as expansion continues apace

Norwegian today reported a net loss of NOK299 million, or £27 million, for financial 2017.

Significant costs related to increased fuel prices, wet lease, and passenger care affected results, the low-cost carrier said.

In a statement the airline said: “Going into 2018, Norwegian is far better positioned with stronger bookings and a better staffing situation.”

The company’s total revenue was almost NOK31 billion, or £2.8 billion, an increase of 19 per cent compared to 2016.

A total of 32 brand new aircraft entered the fleet, contributing to capacity growth of 25 per cent.

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The load factor at Norwegian was unchanged at 88 per cent.

A total of 33 million passengers flew with Norwegian in 2017, an increase of 13 per cent compared to the previous year.

For the fourth quarter, the net loss was NOK919 million, or £84 million.

The total revenue was more than NOK7.8 billion, an increase of 30 per cent from the same period last year, primarily driven by international growth as well as an increased traffic in the Nordics.

“We are not at all satisfied with the 2017 results,” said Bjørn Kjos, chief executive of Norwegian.

“However, the year was also characterised by global expansion driven by new routes, high load factors and continued fleet renewal.

“Through our global strategy, we contribute to local economic boost and increased employment at our destinations, as well as ensuring that more people can afford to fly - not least between the continents.

“In 2017, we received several major international customer awards, which would never have been possible without our dedicated colleagues at Norwegian.”