Podgorica - National air carrier held its regular annual press conference where it summarized the results achieved during 2012 and presented Montenegro Airlines future plans.
Addressing the guests at press conference, Mr. Petar Glomazic, CEO, said that 2012 was an important year for the Company, because the implementation of the Restructuring Strategy Programme of Montenegro Airlines, adopted by the Government in the beginning of the year, was initiated. The said Restructuring Programme represents a timely measure aimed at compensating difficulties, resulting, first of all, from the global economic and financial crisis which affects the global economy, and in particular the vulnerable air industry sector.
"As a result of Restructuring Programme implementation and measures it prescribes, today we have clear positive trends in all aspects of operations, which shall continue in future", said Mr. Glomazic.
The fact proving this statement is the increase in the number of carried passengers. Mr. Glomazic said that in this year Montenegro Airlines carried 601.000 passengers or 6% more than in 2011. Increase in the passenger number was achieved with the lower number of flights and 7% less flight hours. The increase in load factor by 12% and the increase of income per flight hour by 14% were also noted.
"Revenue from operations, in the total amount, was increased by EUR 3.4 mil, which represents growth by 7% compared to the previous year. At the same time, we had a decrease in total expenses by 4% that is EUR 2.6 mil", said Mr. Glomazic.
The decrease of total expense was achieved in the year of high rise in fuel price. Namely, the increase of fuel price by 20% raised the total fuel costs by EUR 3.3 mil, despite the rationalisation of operations, i.e. smaller number of flights, which means the lower consumed fuel quantities.
Mr. Glomazic reminded that the average jet fuel price per ton in this year was EUR 894, which is by EUR 140 higher than the price in 2011, and the constant rise in the past couple of years lead to the fact that current price was doubled compared to the price in 2009. It represents the historical maximum and the main reason why even the most successful and biggest global air carriers suffer huge losses.
"The rationalisation of operations, and other business segments, such as better load factor, increase of income, and implementation of measures prescribed by the Restructuring Programme, which regulate relations with other participants in the air industry, as well, have created conditions in which the performance results for this year shall be by 60% better than in 2011. In case the fuel price should drop to EUR 750 per ton, as it was the case in 2011, which would still be very high, the company would conduct the business operations without any losses. According to the financial indicators, Montenegro Airlines falls into top five scheduled air carriers in Europe and makes it the most successful in the region. Within the past five years, marked by economic crisis, the company successfully managed to continue fleet modernization activities, without using the funds from the government budget, unlike the companies in the region, which had EUR 10 mil subsidies, and still suffered more than ten mil Euros of loss", said Mr. Glomazic.
Concerning the future plans, Mr. Glomazic said that in the next year Montenegro Airlines will operate the same fleet as in the previous year, whereas in spring 2014, the fleet will be renewed by another brand new aircraft - Embraer E190, taken into long-term lease.
In addition to operating on current routes, which connect Montenegro with the most important European centres, that is eleven scheduled operations, and as much in charter operations, the company has plans to further develop its network.
Montenegro Airlines hopes that the negotiations in progress will result in flights towards Ukraine in 2013, and by launching another destination in Russia, as well.
In the end, Mr. Glomazic thanked to all participants who make efforts in the company's preservation and further development. He also wished a happy and successful New Year to all passengers, business partners and all employees. |