REX Regional Express

First cab off the rank, and in line with its guidance released earlier in February REX has issued a Profit Before Tax for the six-months to December 31 of AUD$5 million – a 60 per cent decline on 1H FY2013.

Announcing the results in a report entitled “aviation is crisis”, COO Gary Filmer says “the Abbott government needs to take immediate steps to fulfil their election promises to regional aviation outlined in the Coalition’s Policy for Aviation before the irreversible collapse of regional aviation occurs.” Filmer also made it clear that any Federal Government debt guarantee extended to Qantas should be available to the regional airline.

REX attributes its weak performance to the “continuing weak Australian economy”. The airline saw revenue decline 5 per cent to $130.1 million dollars on a load factor decline of 2.7 per cent to an average 54.1 per cent.

REX’s passenger Cost/ASK increased by 0.5 per cent, with the airline also experiencing an increase in the proportion of total cost attributed to fuel. However, overall the airline’s cost control programme saw a decline in total cost by $200,000 to $ 103.1 million.

Sydney Airport

Sydney Airport today released its 2013 full year results to December 31, announcing a Profit Before Tax of $126 million on the back of a small increase in revenue to $1.139 billion.

Aeronautical revenue grew delivering 49 per cent or $548 million of total revenue after a 4.1 per cent increase in international passengers drove capacity additions by more than half of the 36 international airlines serving Sydney. Retail revenue was also strong, following increases in retail space in T1 and T2.

The airport reiterated its potential to handle capacity growth and its ongoing airport investment programme as the airport fights an impending, but again delayed decision, on a second Sydney Airport.

Now we all wait with baited breath for Air New Zealand’s expected profit and Qantas’ half-year catastrophe. Friday it’s Virgin Australia’s turn. In the meantime here is a reminder of last year’s full year performance.