ASEAN KEY DESTINATIONS
THAI sees 10 percent revenue gain in 2011
The national carrier's board yesterday declined to offer precise sales or profit forecasts, but president Piyasvasti Amranand said 10 percent growth appeared possible if there were no major political disruptions next year.
The airline expects a cabin factor of 74.6% of seats filled, the same as this year, mainly due to a 6.5% rise in capacity from by new jets next year.
For the first 11 months of this year, THAI recorded an average cabin factor of 73.5 percent, 1.2 percentage points higher than the same period last year, in the face of a 5.3 percent increase in capacity.
THAI also projects flat growth in its freight load factor next year as cargo capacity is expected to increase by 12.8 percenyt.
From January to November 2010, the average freight load factor was 61.9 percent, which was 17.9 percent higher than in 2009, as it ramped up capacity by 17.9 percent.
Last month, chairman Ampon Kittiampon said the airline was likely to post a record a 2010 net profit of at least 10 billion baht, thanks to a recovery in travel demand, cost-saving measures and the easing of local political tensions.
THAI earned more than 12 billion baht in the first nine months of this year, so it will not be difficult to raise the bar further for the October-December period, he said.
THAI's conservative forecast for 2011 generally reflects what the International Air Transport Association (IATA) envisages for next year. That is because the industry's recovery cycle would pause in 2011, IATA director-general Giovanni Bisignani said on Tuesday.
IATA has forecast that world oil prices would average $84 per barrel in 2011, up from $79 this year. This would increase fuel costs to 27 percent of operating costs from 26 percent in 2010, he said.
Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below