SriLankan Airlines says loss reduced, six A320s on the way

Oct 05, 2016 (LBO) – SriLankan Airlines said in the financial year ending 31st March 2016, the airline recorded a reduced loss of 9.03 billion rupees, which represents a 45 percent improvement compared to the previous year.

“At the end of the last financial year, without the ‘one-off’ payment relating to cancellation of the lease of one A350 aircraft, the airline’s group loss stood at 9.03 billion rupees, which represents a 45 percent improvement for the 2015/16 financial year compared to the previous year,”  Ajith Dias, chairman of SriLankan Airlines told reporters in Colombo.

“The net loss after taking the ‘one-off’ item into consideration is 11.59 billion rupees, compared to the net loss of 16.33 billion rupees during the previous year.”

The national carrier’s focus on re-structuring its operations to effect a turnaround is recording a significant reduction in losses, coupled with a rationalization of routes and aircraft.

SriLankan will lease six Airbus A320NEO aircrafts, four from Air Lease Corporation and two from AerCap to allow the expansion of regional routes,  Suren Ratwatte, chief executive of the airline said.

“Five aircrafts will arrive in the first quarter of 2017 and the sixth aircraft will come in 2018,”

“These are the aircrafts we need to be deployed on regional routes which are profitable for the airline.”

We new have a fleet of 10 wide bodied Airbus A330s and 10 A320 aircraft and by the end of 2017 it will have 14 A320s and 10 A330 operating, he added.

The Airlines will also take over regional routes operated by Mihin Lanka which will stop flying in November.