Friday, August 30, 2024 Air New Zealand has announced its earnings before taxation for the 2024 financial year, totaling $222 million—a significant decrease compared to the $574 million recorded in the previous year. This reduction was anticipated, especially after the airline’s record-breaking results following New Zealand’s border reopening last year. Net profit after taxation stood at $146 million, highlighting the challenging conditions that the airline faced during the second half of the financial year.
While Air New Zealand enjoyed a robust first half of the financial year, the latter half proved to be increasingly difficult. The airline encountered numerous operational and economic challenges that considerably impacted its performance. The economic landscape in New Zealand worsened, leading to a decline in domestic demand, particularly within the corporate and government segments.
This downturn in demand was one of the major factors contributing to the airline’s reduced profitability. Additionally, the global aviation industry faced widespread operational disruptions, further complicating Air New Zealand’s situation. Maintenance issues with the Pratt & Whitney PW1100 engines resulted in up to six of the airline’s newest and most efficient Airbus neo aircraft being grounded at various times.
Compounding this, ongoing maintenance requirements for the Trent 1000 engines that power the Boeing 787 Dreamliner fleet, coupled with a shortage of spare parts, led to .