Flybe fresh profit warning
 

Expected result for the year 18/19 by £29m lower due to weaker demand, higher fuel prices and lower £.

Looks like that we should expect a further reduced schedule... and the uncertainties associated with brexit will not make it easier.

At what point do you accept that the Flybe business model is just not working, and needs more fixing than just tinkering round the edges?

Share price has taken a hammering this morning, currently -33%.

I think Flybe Is more vulnerable than many in the current political uncertainty. If Business travel is down and investment is down; and manufacturing is vulnerable, is provincial base means more impact is likely.

Does it run deeper than that? Is there a growing realisation that as BEA, and British Airways discovered, there is no money to be made out of connecting the regions of the UK by air. The best way forward may in fact be to make interlining arrangements with major carriers such as AF / KL and Lufthansa to feed into their hubs from UK regional airports, and retain just a few of the major domestics such as SOU, BHX and MAN to GLA / EDI and connecting Belfast to the main UK centres.

In essence cut back to the routes that they can and do make money on and can the rest - much smaller, slimmer operation, but one which does what shareholders want - makes profit and pays dividends!

Your assuming that they make money on the interlining and codesharing? What would be better for them is a joint venture. Also with KLM you'd have thought they'd have been in a relationship with them by now as that would help release slots for KLM at AMS.
And why in these scenarios does Cardiff always gets dropped considering it's seen the most BE expansion lately and it's a government owned airport.

What's the relevance of this - thought the ownership was an "arms length" commercial arrangement?

Yep it is but i do believe companies can get loans off the Welsh government especially if they were to setup new operations in Wales like Aston Martin.

Flybe shares now down 37% on the day. Any chance of a new Stobart bid or was the first one just an Andrew Tinkler driven idea?

Rather mischievous post above regarding that infamous Stobart/Tinkler bid for Flybe...

Mike Ashley, perhaps?

Perhaps research the Stobart tilt at Flybe in the business pages after that event...

I wonder if they would think of doing something similar to Air Malta and sell flights through Ryanairs website. Would give them bigger exposure.

Oh my word - has anyone seen the new edition of Airliner World?

Yes....huge article on Flybe

Can't remember - is it Airliner World or a different magazine which is known for its feature curse ?

Should be pence, not pounds !!!!

You probably should look at the Chairman that made the last few appointments....serious lack of judgement especially given COW's mismanagement of Cityjet previously

That was a mental image none of us needed....

Seriously, surely the fundamental problem with Flybe, and other airlines operating in the same sector of the market anywhere, is that any route which grows to the point of real profitability will be poached by a LoCo. Flybe may be necessary to the traveling public, but will never do better than break even.

There is no doubt it is difficult to get a strong return on domestic services when you consider the sheer level of taxes levied. After costs are considered and the taxes there is such a narrow margin on air travel. The trains are going after the same business and they are not taxed remotely in this way.

It is also a bit of an old chestnut to suggest the deal on the embraers is the issue... still... at this stage. They are already disposing of them. Can somebody also tell me how brexit is to blame for the state of affairs, nobody yet knows the full impact of brexit yet. Are there indicators that companies profits are down at this point, am I not correct in saying rusty there are currently positive financial indicators in the UK economy? Time to go down an acmi route, cut the HQ overheads and steal a march on outs like Cityjet and get in there, and bring their best or top 15 routes as bargaining power, just like WX did with EI on LCY route...supporting the network carriers and removing a world of pain for them...

Just my opinions above...

Brexit
 

Yeah but who for? I can't see Easyjet being interested or even BA?

good question PDXCWL45,
if you compare with the US this side of the Atlantic is untapped by comparison. They need to prospect with big carriers just as Cityjet have, who expected Cityjet to sign up SAS, Brussels Airlines, KLM, Aer Lingus, Air France etc. I don't see any opportunity with easyJet or locos.

Focus on the network carriers ... Flybe have plenty of advantages over other airlines to compete in this space.

anyway must go I've got to book a ticket to Australia return for £9.99. Ah hang on other airline said they'd do it for £6.99

Flybe shares falling again this morning, down 5% already

Stobart franchise appears to continue after March 19
 

A new Stobart operated route from southend to newquay has been announced today.

The following website (which is typically reliable) suggests that a number of routes will be continued after March 19:
Latest flight alerts sent by us
It should be only a matter of time that these appear in the booking engine.

We should expect a formal announcement soon.

Plus Aberdeen and Jersey.....new routes for Flybe/StobartAir

The website does not distinguish between direct flights and connections.

All rather tenuous at the moment apart from NQY-SEN which has been announced by Newquay Airport. This could well be Flybe mainline and I've seen nothing which confirms MAN will continue from SEN nor ABZ and JER as new direct routes.