Originally Posted by
Set 1013
Flybe made a loss before tax of £(35.6)m (2013/14: £8.1m profit). However, this loss before tax is affected by non-cash revaluations on our USD loans that are intended to be hedges against the value of each aircraft, whose value is denominated in dollars. If these movements are excluded, we made an adjusted loss of £(25.4)m (2013/14: loss of £(0.1)m). Cost of surplus aircraft were £(26.0)m this year against £(1.7)m the previous year and this year included significant costs of the Finland discontinued operations of £(12.0)m and £(4.0)m provision for EU261 claims on delayed and cancelled flights prior to 1st April 2014. Conversely, 2013/14 had one-off restructuring costs of £(10.7)m, offset by one-off £10.5m profit from the sale of our Gatwick slots. For illustrative purposes, therefore the UK profit net of these factors would have been £16.6m (2013/14 £1.7m).
As expected, we will find out how the market reacts in 20 minutes.
So, in laymans terms, excluding the costs involved in restructuring and correcting the errors of the previous regime, the company made a handsome profit?
If so, then that looks as though, despite all the naysayers, some wise decisions have been made, that are putting the business on a firm footing for the future. Or is that too simplistic?