Cargolux’s net profit surged in 2015, helped by cheaper fuel, but revenue shrank as low yields offset higher volumes.
Europe’s largest all-cargo carrier boosted post-tax profit to $49 million from $3 million in 2014, but revenue fell 13.6 percent to $1.86 billion from $2.15 billion.
“The company outperformed not only the market, but also its direct competitors in Europe, who in some cases, retired freighters or reduced their air cargo activities,” the Luxembourg-based carrier said.
Cargolux transported 889,652 tonnes (980,673 tons) of freight in 2015, up 8.7 percent on the previous year, and its fleet of twenty-five 747-400 and 747-8 freighters flew a record 114,792 block hours, an increase of 8.8 percent on the all-time high in 2014.
The average load factor stabilized at 65.9 percent even as Cargolux boosted its fleet by four 747-8s during the year.
Cargolux said Zhengzhou airport was a major focus in 2015 with traffic to and from its new Chinese hub totalling 65,000 tonnes by the end of the year, with 13 weekly flights including a trans-Pacific service to Chicago.
Earlier this year, Cargolux announced a $77 million investment in Cargolux China a new joint venture with China’s HNCA, in which it has a 35 percent stake.
Cargolux China is scheduled to start operations in 2017, focusing on trans-Pacific and intra-Asia routes with a fleet of five 747 freighters within three years.
Contact Bruce Barnard at email@example.com.