PPRuNe Forums - View Single Post - REX to transition to ATRs, start domestic jet ops
Old 1st Sep 2021, 01:19
  #1488 (permalink)  
1A_Please
 
Join Date: Dec 2001
Location: Melbourne
Posts: 421
Likes: 0
Received 23 Likes on 14 Posts
Originally Posted by transition_alt
It seems they've actually done quite okay, but not great.

Comparing the half year results, only an extra $28 mill of government subsidies have been received. This makes sense as job keeper is gone and certain subsidies were not available.

Pax revenue increased from $42m half year to $125m full year. The Saab operation never went back to full capacity (except QLD. Even WA isn't full schedule) during this second half period before the next round of lockdowns, so a decent amount of that can be attributed to the 737. Rex have been saying it's making money, so I guess they have to be trusted on that.
I don't think we can trust them on that at all and their reluctance to provide properly segmented accounts "bells the cat". The known facts are that they were struggling to get 40% occupancy and lots of that was on $39 tickets which barely cover the airport charges and taxes. Both of these are far away from their original business assumptions. The only positive for them currently is that they probably lose less money on their 737 operations when they are grounded.
1A_Please is offline