Korean Air profits increase 739pc to US$983 million in 2010

SOUTH Korea's flag carrier Korean Air has announced its 2010 operating profit of KRW1.1 trillion (US$983 million), up 739 per cent year on year and drawn on revenues of KRW11.4 trillion, an increase of 22 per cent.


Net income for 2010 returned to the black at KRW468.4 billion compared to a loss of KRW98.9 billion in 2009.


Its operating revenue for the fourth quarter last year was KRW2.89 trillion, up 12.4 per cent year on year. Operating profit reached KRW188.8 billion, rose 22.6 per cent compared to the same period the previous year.


The cargo segment contributed a revenue of KRW960billion, up 1.9 per cent year on year in the fourth quarter.


Growth for global cargo services continued as reflected in 1.8 per cent rise in capacity to 3,235 million AFTK and 1.7 per cent in traffic to 2,449 million FTK.


"The increased cargo traffic was recorded in the industry's traditional peak season which coincided with the festive season, while the increase of Korea's outbound cargo traffic of auto parts and machinery fuelled the growth in this segment. Transit cargo traffic, especially from Europe and SE Asian regions, also recorded an increase during the period under review," said the airline's statement.


Looking ahead, the airline is optimistic about the growth of both international passenger and cargo businesses in 2011. Its investment in air fleet expansion will increase 33 per cent this year.


The airline has also announced it will launch the A380 service to Japan and Hong Kong starting from June 2011, and will expand its A380 service to Bangkok, New York and Los Angeles later this year.
(Source:http://www.schednet.com)