Aeroflot Russian airline posts 66% profit slump

PanARMENIAN.Net - Russia’s flagship airline Aeroflot posted an IFRS net profit of $166 million in 2012, down 66 percent on the previous year, the company said on Wednesday, April 24, according to RIA Novosti.

The company’s net profit was well below a consensus forecast of analysts polled by Prime news agency who expected the airline’s net financial result at $233.6 million.

Aeroflot said its 2012 net profit was lower than the previous year because the company received considerable proceeds in 2011 from the sale of subsidiaries and affiliates. Its 2012 balance sheet also reflected the acquisitions of airlines which had not yet reached break-even point.

Aeroflot’s 2012 revenues rose by 51 percent to $8.138 billion while EBITDA rose by 3.8 percent to $671 million. Revenues from air transport rose by 59 percent to $7.118 billion.