Air New Zealand expects nearly NZ$400m full-year loss on jet fuel costs
Air New Zealand said it expects to report a full-year loss of nearly NZ$400 million as jet fuel prices have surged. The carrier is reducing flight frequencies on some long-haul routes and reviewing fleet capacity.
Air New Zealand expects a full-year net loss of about NZ$400 million for the year ending June 30 as global jet fuel prices have surged. The company said per-unit fuel cost rose 28% year on year in the latest quarter.
Management said it will reduce flight frequencies and seasonal capacity on some long-haul routes. Several Auckland services to North America and Asia will be consolidated, while the delivery timetable for newer, more fuel-efficient aircraft is being watched closely.
The stock fell in the local trading session after the announcement, with investors monitoring how much fuel hedging will kick in for the 2027 fiscal year. The carrier said additional measures could be considered if cost pressure continues to weigh on business travel demand.
More from Australia-Pacific
South Australia plans to lift 10-year fracking ban in state's South East
The South Australian government has announced it will draft legislation to lift the 10-year ban on hydraulic fracturing (fracking) in the state's South East. Farmers and environmental groups criticised the plan, while the government argued the move would support natural gas supply and ease energy costs.
Australia's Budget Tax Overhaul Sparks Debate Over Home Price Impact
Australia's property tax overhaul announced with the budget has divided economists over its impact on home prices. Some experts forecast a 5% drop, others say the impact will be limited. The reaction of investor demand will be decisive.
Australian Opposition Proposes Migration Cap Tied to New Housing Supply
Australian opposition leader Angus Taylor proposed a 'one-for-one' rule that would only admit a new migrant for every new house built, in his budget reply speech. The proposal is expected to deepen the policy debate around the country's housing crisis. The government rejected the plan in strong terms.