Finnair will present a new strategy to bypass the Russian Federation this autumn

In the second quarter, the Finnair airline almost halved its loss – to 84 million euros, but the third year will remain unprofitable; the company’s new strategy, bypassing Russia, will be presented in the fall, follows from the carrier’s quarterly report published on Tuesday.
Revenue in April – June increased by 392% to 550.3 million euros (111.8 in the same period a year earlier).
The comparable operating result was a loss of 84.2 million euros (loss of 151.3 million in the same period a year earlier).
In the first six months, revenue increased by 321.5% to 950.1 million euros (225.4 million a year earlier).
Comparable operating result for the first half amounted to a loss of 217.1 million euros (minus 294.5 million a year earlier), an operating result amounted to a loss of 257.8 million euros (minus 288.2 million a year earlier).
“Significant uncertainty remains in Finnair’s operating environment as market fuel prices are historically high and the duration of Russian airspace closures, the impact of inflation on demand and costs, and the evolution of the COVID-19 pandemic and related measures are unclear,” the update reads. carrier forecast.
In the third quarter, Finnair’s occupancy is expected to be around 70% compared to the corresponding period in 2019, and in the fourth quarter of 2022 it will be similar or slightly higher than the third quarter.
“We are preparing for the fact that Russian airspace will remain closed for a long time. In addition, the price of fuel has historically been high and our competitive landscape has changed. Therefore, we are working on a thorough update of the strategy and intend to share the changes in more detail in the fall,” Finnair CEO Topi Manner was quoted in the message.
Finnair’s current strategy to use the shortest route to Asia, primarily Japan, the carrier’s main market, has failed with the closure of Russian airspace due to a special military operation in Ukraine. Finnair is changing its strategy by launching direct flights from Stockholm to the US and Thailand, as well as flights between Helsinki and Mumbai, India.