JAL’s April-Sept. net loss shrinks sizably

Jiji Press

17:21 JST, November 2, 2022

TOKYO (Jiji Press) — Japan Airlines said Tuesday that its group net loss in April-September shrank to ¥2.11 billion from the year-before level of ¥104.98 billion, reflecting a recovery in the number of passengers thanks to the easing of border controls related to COVID-19 in Japan and abroad.

The improvement was also backed by the lifting of novel coronavirus-linked restrictions on movement at home.

On Monday, domestic rival ANA Holdings Inc. reported its first April-September group net profit in three years.

In the first half of fiscal 2022, JAL’s consolidated revenue stood at ¥618.52 billion, up about 2.1-fold from a year before.

Revenue from domestic passenger flights rebounded above 70% of the level in April-September 2019, while that from international passenger flights recovered to about 60%, thanks to demand for connecting flights between Asia and North America as well as growth in business trips. Revenue from international cargo services was also solid.

“The results were satisfactory,” considering negative factors including Japan’s seventh wave of coronavirus infections this summer and surging fuel costs amid the yen’s weakening, JAL Senior Managing Executive Officer Hideki Kikuyama told a press conference.

For the full year to March 2023, JAL revised up its revenue projection to ¥1.4 trillion from the previously forecast ¥1.39 trillion, on expected growth in the number of foreign visitors to Japan. Its net profit projection was kept unchanged at ¥45 billion.

ANA Holdings has revised up its net profit estimate for the full year to ¥40 billion from ¥21 billion.