Airways New Zealand today announced its interim results for the period ending 31 December 2016, reporting a strong operational, safety and financial performance.
The State Owned Enterprise has achieved an interim net profit after tax (NOPAT) of $13.8m, a 20 percent increase on the prior year’s $11.5 million result.
During the period, Airways recorded no near collision incidents and achieved a technical service availability rate of 99.98%.
“Continued growth across the aviation industry, coupled with careful cost control and an excellent operational performance has resulted in a strong start to the year by all measures.” CEO Ed Sims says.
Following a pricing reset for the 2016-2019 period, Airways has delivered a price reduction to customers of 9.8% for the year.
This year, Airways will invest $41 million in capital projects with a focus on delivering next generation technology that will ensure even greater resilience, safety and efficiency. Projects already underway include the installation of a new satellite supported aircraft surveillance system and procurement of a new domestic air traffic management platform. The new platform is expected to be operational by 2020.
Airways Chair Judy Kirk says Airways’ direction will play a critical role in supporting aviation and tourism growth in Asia Pacific.
“With the predicted growth, these investments will enable the future success and efficiency of our own business and those of our customers.”
The strong start, supported by further cost savings, is expected to generate a full year result ahead of the budgeted $18.1m.