Rex Q3 pre-tax profit falls 6.3%

[NickN]

Can't complain about a 6.3% drop. They are fairing quite well considering others in the aviation industry are incurring losses.

Regional Express Holdings Ltd (REX) says its third quarter profit fell 6.3 per cent as passenger numbers decline, and warned its annual earnings will be lower than last year.

The regional airline operator said pre-tax profit for the three months ended March 31 fell to $7.5 million, from $8 million in the same period last year.

"The company has advised that its net earnings for the full financial year could be up to 10 per cent below that of last year," it said.

Passenger revenue fell 10.8 per cent to $45.4 million as passenger numbers declined by 19.8 per cent to 292,386.

In the financial year to date, REX's pre-tax profit was up 1.9 per cent to $21.9 million.

REX made a pre-tax profit of $32.48 million in 2007/08. Its net profit was $24.34 million.

http://news.smh.com.au/breaking-news...0520-bexd.html

[Chris W]

Some highlights from presentation (from ASX website):

• Pax numbers down 19.8% from last quarter
• Freight down 25%
• ASK's down 15%
• Load factor down 4 points to 63%
• Cancellation rates dropped to historic levels (0.2%)

Outlook....

• Further reduction in ASK of 11% (to a total of 26% reduction :O)
• Further retrenchment of about 4% of group workforce
• Increased mining charters and medivac.