Originally Posted by
1A_Please
You need to park a lot of Saabs to cover for the capacity of 2 738s. Their results are truly terrible. At some point PAG has to decide if it is going to put in good money after bad or just let the whole thing collapse.
There's far, far bigger matters in play here than suspending a few regional routes. The H1FY24 to H1FY23 numbers for cash in, cash out look something like this:
Pax revenue $311.438 million
up by $18.525 million (+6.32 percent)
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Total revenue $353.388 million up by $13.556 million (+3.99 percent)
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Cash Costs
Flight and port operations $85.222 million
up by $8.84 million (+11.57 percent)
Engineering and maintenance $54.209 million
up by $16.074 million (+42.15 percent)
Salaries and employee related costs $112.940 million
up by $15.612 (+16.04 percent)
Selling and marketing costs $18.744 million
up by $3.038 million (+19.34 percent)
General administration costs $7.733 million
up by $0.512 million (+7.09 percent)
Finance costs $5.728 million
up by $1.235 million (+27.49 percent)
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Fuel $69.641 million
down by $5.658 million (-7.51 percent)
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Total cash costs $354.217 million up by $39.653 million (+12.61 percent)
+
Rex's cost base has exploded, both in nominal terms and relative to revenue. Draw your own conclusions.