THAI reports Bt4.68 billion loss in Q3
The national carrier Thai Airways International (THAI) announced the turnover of the company and its affiliates in the 3rd quarter of 2019 on Thursday (November 15), reporting a net loss of Bt4.68 billion, 27 per cent higher than last year’s result or Bt994 million. This loss translates to Bt2.14 loss per share, which is Bt0.44 higher than last year or 25.9 per cent.
In the third quarter of 2019, the company and its affiliates generated revenue of Bt45.016 billion, which is 6.1 per cent or Bt2.937 billion lower than last year’s revenue. The major cause for the dip in revenue was cited as negative factors in global economy that have reduced customers’ need to travel and transport products, as well as increased competition from low-cost airlines. The company and its affiliates have an accumulated expenditure of Bt47.858 billion, which is Bt4.029 billion lower than last year (7.8 per cent), thanks to a 12.2 per cent decrease in fuel costs compared to last year.
Furthermore, the company and its affiliates had to set aside Bt2.689 billion as a reserve fund for employees who wished to retire early to be in line with the State Enterprise Labour Committee’s announcement that requires state enterprises to pay early retirement packages equal to 400 days of wages to employees who had been working more than 20 years. The regulation came into effect at the start of the third quarter.
In the first nine months of 2019, THAI accumulated a loss of Bt11 billion.
