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Air New Zealand has released its financial results for the 2024 fiscal year, reporting earnings before taxation of $222 million, a decrease from the previous year's $574 million. The net profit after taxation was $146 million. The decline in earnings was anticipated following the reopening of New Zealand's border last year, which had resulted in one of the airline's highest performances.
The second half of the fiscal year presented significant challenges due to operational and economic headwinds. Domestic demand deteriorated, particularly affecting corporate and government segments. Maintenance requirements for Pratt & Whitney PW1100 engines led to several Airbus neo aircraft being grounded. Additionally, issues with Trent 1000 engines affected Boeing 787 Dreamliners, further impacting operations.
Passenger revenue increased by 11 percent to $5.9 billion, supported by a 23 percent increase in capacity mainly on international routes. However, weaker demand and heightened competition offset these gains. The airline also recognized $90 million from unused customer credits unlikely to be redeemed.
