Friday, March 27, 2015

Lean period for Air Berlin continues: Air Berlin loses after record loss on … – ABC Online

Friday, 03.27.2015, 18:42
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The dry spell for Air Berlin continues: Germany’s second largest airline in 2014 flown the biggest loss in its history. In the current year, the company will probably continue to lose money. Until next year it will again look better.

It was not until 2016, the new CEO Stefan Pichler expected at least before interest and taxes in the black, as he reiterated on Friday.

The cost of the new, expensive remediation program he wants to post in the old year. The final balance for 2014 is therefore likely to occur in late April. The net loss is expected to reach up to 387 million euros.

With 0.80 percent in the red at 1,222 euros

Air Berlin cuts even worse than expected by analysts. The company’s stock lost time on Friday, more than 3 percent in value and was in the afternoon with 0.80 percent in the red at 1,222 euros. At its peak eight years ago, she had written more than 20 €.

The range for the net loss amounted management on 362 million to 387 million euros. Thus, the negative still exceeds the 316 million Meanies from the previous year. The amount of the expenses for the restructuring of the company will reach 85 to 110 million euros and were “not been determined conclusively,” a statement said the wide margin. In addition, the decline in ticket prices have pulled down the result.

“A toxic combination”

The outgoing chief financial officer Hüttmeyer spoke of a “disappointing sales performance.” In addition to earnings per seat and aircraft utilization has decreased in 2014. This was “a toxic combination”. Air Berlin had increased its seating capacity by 2.5 percent. In the wake of the debt of the company grew by 14 million to 810 million euros. The equity in accordance with international accounting standards had even dropped to minus 400 to 450 million euros, Hüttmeyer. But from this one should derive any insolvency scenario, he said. Under German GAAP, the Air Berlin companies had positive equity.

CEO Pichler wants to align the flights more on profitable routes and expand the turnstiles as Dusseldorf and Berlin. In addition, the distribution is to be improved and more focused on online marketing. New software to help impose higher ticket prices.

“We consider realistic that we 2016 can achieve a positive EBIT”

expected in the current year, Air Berlin thereby a substantial improvement in next year is the operating profit (EBIT) to remain above the zero line. “We consider realistic that we can achieve positive EBIT of 2016″, Pichler said. While he has slashed the flights in the coming months, he wants to expand the business from April next year again.

At the start of the new year, it was already running, according to Pichler better. Excluding special items, the operating loss in the first quarter is therefore likely to decrease by approximately 183 million euros to 25 million euros. Air Berlin will break the downward spiral of past 2015, promised Pichler.

The Group’s revenue was almost unchanged at 2014 € 4.16 billion. The operating loss (EBIT) to 279-304 million euros occur after a loss of 232 million euros a year earlier.

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