Quantcast

Air New Zealand faces operational challenges amid engine troubles and delivery delays

European air traffic warning means summer delays for holidaymakers
The EU rule change that could affect millions of Brits when their flight is delayed or cancelled
Delta Earnings Land Soon. Why They’re Key for Airline Stocks and the Economy.
Avelo Airlines to Operate Deportation Flights, Hiring Flight Attendants
Travel chaos 2025: all the strikes and disruption expected across Europe
United receives FAA approval for first Starlink-equipped planes
Qantas launches mammoth Asia flight sale including Bali and Japan
New Update from Air Canada, WestJet, American Airlines, Delta, United, Southwest, Alaska, JetBlue Airways, and Sunwing: Airline Capacity Between Canada and US Slashed as Bookings Plummet Seventy Per Cent
Delta Cuts Two Domestic Routes
United Airlines Technicians Reject ‘Dead on Arrival’ Contract Proposal, Teamsters Say
The State of the Asia Pacific Airline Industry
Spirit Airlines to add Detroit nonstop flight out of Bradley International Airport
Major airline to launch new direct flights from Scotland to North America
Ryanair launches new ‘prime’ membership which saves passengers more than £400 a year
Judge Orders Boeing to Trial on 737 MAX Case
Qantas’ free international Wi-Fi to switch on from next week
The real reason Southwest is charging for bags now
Air France-KLM in ongoing talks with Air Europa on potential stake, CEO says
Frontier Savagely Shades Southwest After They Eliminated Longstanding Free Bag Policy, Sparking Backlash
Frontier Wants You to 'Divorce Your Old Airline' After Southwest Changes
Delta named one of Fast Company's Most Innovative Companies for sustainability initiatives
Passengers escape fiery American Airlines jet in Denver
Delta, American Dive On Slashed Outlooks; But Two Airlines Rally
Competitors are circling Southwest after the airline announced it's going to start charging for checked bags
Exclusive: Dominican Low-Cost Carrier Arajet Wants to Disrupt NYC Market
Boeing deliveries rise 63% in February from a year earlier
Transportation Secretary Duffy Lays Out 10 Ways the FAA Is Working to Upgrade Air Traffic Control and Make Flying Safer
EasyJet pilot Paul Elsworth suspended after flying too close to mountain
Delta Air Lines bets on ‘blended-wing’ flight to reduce emissions
Europe's airlines pivot to bite size M&A deals to limit cost, regulatory burden
Air New Zealand faces operational challenges amid engine troubles and delivery delays
Policy
Webp airnewzealand
Air New Zealand | Wikipedia

Air New Zealand is facing significant operational challenges as engine issues continue to ground a portion of its fleet. The airline's Chief Executive Officer, Greg Foran, stated that up to 11 aircraft could be grounded throughout 2025 due to ongoing problems with Pratt & Whitney and Rolls-Royce engines. This situation has already led to the suspension of direct flights from Auckland to Seoul and a reduction in other services.

Foran explained during an earnings call reported by Reuters: "Our fleet situation will not improve in the near term. In fact, it's likely to become more challenging over the remainder of this financial year and into the first half of FY2026. Having 10 or 11 aircraft grounded may not sound dramatic, but it represents roughly 20% of our fleet, and the ripple effects are substantial - I cannot overplay this enough."

The grounding has impacted Air New Zealand's operations significantly, with a reported net profit after tax of NZ$106 million for the six months ending December. However, capacity was reduced by 4%, leading to an 18% fall in expected profit according to Radio New Zealand.

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

In addition to these issues, delays in Boeing deliveries have further complicated matters for Air New Zealand. Several new Boeing 787s were expected by February 2026 but have been postponed. To address this gap, Boeing 777-300ERs have been leased temporarily.

Despite these challenges, compensation discussions with Rolls Royce and Pratt & Whitney are underway. The airline received NZ$94 million in compensation last year but continues to face financial burdens due to grounded capital worth NZ$1 billion at any time.

Passenger numbers have also declined by 3%, contributing to a decrease in revenue by 5% to NZ$2.9 billion. Weak domestic demand is cited as another factor affecting revenue.

Looking ahead, Air New Zealand plans upgrades for its Boeing 787-9s with new cabin interiors by the end of 2025 as part of a $2.06 billion brand refresh investment announced previously.

Organizations Included in this History
More News

Emirates Airlines has highlighted the evolution of its cabin crew uniform, emphasizing its commitment to timeless design and practicality.

Oct 23, 2025

Emirates has achieved the Gold Tier status in the 2024 Fly Quiet Programme at New York’s JFK Airport, making it the only airline to receive this distinction among all participating carriers.

Oct 23, 2025

Flying Food Group, Inc. has announced the recipients of its 2025 scholarships, with all five applicants receiving awards this year.

Oct 23, 2025

Dnata, a global provider of air and travel services, has entered into a joint venture with Azerbaijan’s Silk Way Group to launch ground handling and cargo operations at Alat International Airport, located in the Alat Free Economic Zone in Baku.

Oct 22, 2025

Delta Air Lines has announced the release of version 7.5 of its mobile app, introducing new features aimed at making travel planning and management easier for customers during the holiday season.

Oct 22, 2025

The Fair Work Commission has ruled that a former employee of dnata Airport Services was unfairly dismissed and awarded $36,468.39 in compensation.

Oct 22, 2025