Apr 12, 2013 (LBO) – State-run Sri Lankan Airlines and Mihin Lanka, a budget carrier had continued to hemorrhage cash losing 21.5 billion rupees in 2012, with losses since ending Emirates management totaling 58.7 billion rupees, official data shows. Over the last two years, SriLankan has received 100 million dollars in annual tax payer capital injections.
Even 2008, the last year under Emirates management, when the airlines reported profits of 4.4 billion rupees in the financial year to March, it involved non-operating gains on sale and leaseback of aircraft.
Up to 2009 SriLankan was hit by an intensifying war and a global downturn. But since then tourism has boomed and fuel prices have not reached the 2008 levels.
In 2012 the airline had flown 93,922 hours up 25 percent from a year earlier, with passenger kilometres rising 19.7 percent to 12.79 million kilometres.
The passenger factor, which measures actual percentages of seats filled over the total available improved to 81 percent from 78 percent a year earlier, but the losses indicate that it was not able to sell seats a price that was enough to recover its costs.
In 2012, the passenger factor exceeded the 79 recorded in 2007, which dropped to 74 in 2008.