Profits fall at Japan AirlinesJapan Airlines said on Thursday net profit for the six months to September dropped 17.8 percent, as the strong yen and rising fuel costs hit its bottom line.
But it boosted its outlook for the full year, striking an optimistic note on prospects for customer numbers on both domestic and international routes.
"During the reporting period of consolidated financial results for the first half of the fiscal year, Japan's economy has been on a moderate recovery track," the company said. "Exports have shown movements of picking up and the effects of Japanese government policies have been developing, while household income and business investment have increased. However, the slowdown of overseas economies has been a downside risk to the Japanese economy.
"Under these economic conditions, JAL Group strived to increase management efficiency and deliver the highest standard of service, while maintaining a strong commitment to flight safety, in an effort to achieve the targets of Rolling Plan 2013 of the Medium Term Management Plan."
In a half that featured the grounding of its fleet of Boeing 787 Dreamliners after a series of safety glitches, the company said it had made 81.94 billion yen, with an operating profit that was down 14.6 percent at 95.84 billion yen.
Image: © Getty
Copyright is owned by Asia Outlook and/or Outlook Publishing. All rights reserved.