Results an improvement on 2007
CSA Czech Airlines today (March 12) reported a pre-tax profit of €185m (CZK500m) for 2008, an improvement of €14.6m (CZK389m) on the figure for the previous year.
The unaudited figures reveal Czech Airlines as one of the few carriers to have bettered its 2007 performance in the current global economic downturn.
Czech said the results were hit by the steep rise in fuel last summer to $147 a barrel.
But it said that good fuel hedging and exchange rate hedging meant the airline only lost about €14.9m (CZK400m).
Without the hedging, it said its losses could have been €44.6m (CZK1.2bn).
The carrier also said it had lost about €14.9m (CZK400m) in revenue from a drop in demand because of the downturn.
The airline is due to be sold by the Czech Government which has asked for formal expressions of interest this month from potential buyers.
Air France KLM and Aeroflot have both indicated an interest in the carrier.
Radomír Lašák, Czech's president, said: "Today, Czech Airlines is a restructured company that is ready for privatisation.
More than by Czech Airlines' financial results, the outcome of privatisation will be influenced by
by the economic crisis and the condition of other airlines.
"In spite of that, I am convinced that the privatisation of Czech Airlines is the right step even at this difficult time."
The Czech government is hoping to sell its 91.5% stake for around €186m (CZK5bn).
www.csa.cz