JAL Slashes Net Profit Estimate amid Pandemic

Economy

Tokyo, April 22 (Jiji Press)--Japan Airlines <9201> said Wednesday that it has cut its consolidated net profit estimate for fiscal 2019, which ended in March, to 53 billion yen from 93 billion yen, due to sluggish global travel demand amid the spread of the novel coronavirus.

The new estimate is down 64.9 pct from the major Japanese carrier's net profit in fiscal 2018.

In April-December 2019, JAL recorded a net profit of 76.3 billion yen. This means that the airline posted some 23 billion yen in net loss in the January-March final quarter of fiscal 2019, because of a heavy impact of the pandemic.

JAL also revised down its fiscal 2019 sales and operating profit estimates, to 1,411 billion yen from 1,486 billion yen, and to 100 billion yen from 140 billion yen, respectively.

Domestic rival ANA Holdings Inc. <9202>, which has All Nippon Airways as the core unit, earlier this week slashed its group net profit estimate for fiscal 2019 to 27 billion yen from 94 billion yen.

[Copyright The Jiji Press, Ltd.]

Jiji Press