By By Christian Moess Laursen
Scandinavian airline SAS saw its net loss widen in the fiscal fourth quarter, falling short of market expectations. This can be attributed to a weak Swedish krona and rising jet-fuel prices.
In the fourth quarter ended October 31, SAS reported a net loss of SEK1.93 billion Swedish kronor ($186.2 million), compared to a loss of SEK1.24 billion in the same quarter of fiscal 2022. The increase in losses can be attributed to higher costs arising from adverse currency movements and jet fuel prices.
Despite the loss, revenue for the quarter rose to SEK12.02 billion from SEK10.65 billion, driven by increased production and demand. For the full fiscal year, SAS recorded revenue of SEK42.04 billion, surpassing its own target of exceeding SEK40 billion.
Analysts surveyed by Visible Alpha had anticipated a quarterly net profit of SEK665.7 million and revenue of SEK11.34 billion, highlighting a significant variance from the reported figures.
SAS continues to make progress in its Chapter 11 process and expects to receive approval of the Chapter 11 plan from the U.S. court early in 2024, according to Chief Executive Anko Van der Werff.
In the second quarter of 2024, SAS shares are expected to be delisted as part of a rescue package led by Castlelake, leaving shareholders empty-handed following the airline’s bankruptcy filing under Chapter 11 last year.
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