PIA posts 7pc revenue growth in Q3

KARACHI: Pakistan International Airlines (PIA) has posted a growth of seven percent in its revenues to reach Rs23.5 billion for the quarter ended March 31, 2018 as compared to Rs21.9 billion during the same period last year, a spokesman for the national flag carrier said on Thursday.

The key contributors towards revenue growth included aggressive sales and marketing, increased schedule reliability (now standing at the highest-ever mark of 91 percent), discipline and serious efforts into product improvement such as cabin cleanliness and refurbishments, food quality, changed attitudes, etc.

The operational cost also showed escalations of Rs1.3 billion. The costs escalations are primarily due to 31 percent increase in fuel prices over the same period and 15 percent rupee devaluation. However, the financial statements have not been approved as yet. the SAFA has shown confidence on the airline’s safety standards.

The PIA management is committed in overall fixing and transforming the organisation for not only growth, but sustained profitability, the spokesman said, adding that a few months ago, the aircraft fleet, the revenue earner entities, were in unkempt state with several aircraft grounded due to the lack of spares and cannibalisation, broken down lavatories to dirty seats to worn out carpets.

All of these have been fixed with complete cabin refurbishment of the fleet, the spokesman said. The relentless efforts towards getting the long ground aircraft back in the air have yielded results. That is a huge feat considering the overall capability and financial situation of the airline.

Pakistan International Airlines is turning around and all the major stakeholders are showing confidence on the efforts that are being undertaken in this regard, he said.

The recent release of funds by the government of Pakistan, which was not done previously due to apprehensions, as well as debt restructuring negotiations are themselves the acknowledgment of the performance and initiatives.