Kiwi carrier reports earnings in the upper range of May guidance.
Ongoing engine issues and a sluggish NZ economy have seen Air New Zealand post an earnings before tax result of $189 million for the 2025 financial year, a slide on the $222 million recorded for the previous year.
Net profit after tax also dwindled from $146 million to $126 million, while operating revenue held steady at $6.75 billion.
While saluting the resilience of the carrier in the face of headwinds, outgoing CEO Greg Foran said its earnings before tax figure could have been much higher had Air New Zealand’s fleet operated as intended.
Compensation paid to Air NZ by engine manufacturers during the period saw $129 million added to the bottom line, however Foran said its earnings would have been as much as $165 million higher if all its aircraft were able to fly.
More details in today’s issue of Travel Daily.