Virgin Atlantic still expects to return to profitability by the end of the year despite posting a pre-tax loss of £51 million for 2013.
Virgin, which last posted a profit in 2011 and is in the middle of a two-year turnaround plan under new CEO Craig Kreeger, halved its group pre-tax loss last year.
The airline said the results demonstrate “strong progress” towards the airline’s target to post a profit by the end of 2014. The £51 million loss compares to £102 million it recorded in 2012
“We have implemented a programme of measures which put in place firm foundations for future success and our results to this point show that we are delivering against our plan,” said Kreeger.
““Our strategy has been to focus on network, alliances and managing our cost base in a way which has not impacted on the customer. For example, use of a new fuel management system delivered savings of £8m in a single year.
“We have also increased our revenues and passenger numbers, which is the result of both a committed workforce providing exceptional customer service and a loyal customer base with high advocacy. We’re thrilled with the response we’re seeing from our customers.”
The group’s figures also showed passenger numbers of just fewer than 6.2 million, which included its short-haul domestic feeder service Little Red.
Virginatlantic.com