VIRGIN PROFITS SOAR

Written on the 11 March 2010

VIRGIN PROFITS SOAR

VIRGIN Blue Holdings Limited has recorded a $62.5 million profit for the December half, which is a sharp turn from a loss of more than $100 million in the previous half.

Managing director Brett Godfrey says the company was able to achieve the result on the back of cost reductions and enhanced productivity, during the toughest moment in the industry’s history.

“Airlines struggled because they are very much at the forefront of discretionary spending, but they’re also the first to spring back,” says Godfrey.

“We have a seasonal business and our traditionally busiest part of the year is the December half – that and ongoing strong price competition will likely see pressure maintained on yield improvement for the remainder of this year.”

The company has previously offered full year profit guidance between $80 million and $110 million.

Godfrey says he has a ‘bucket list’ to complete before leaving the company he founded, but indicated he may extend his stay past April.

“There’s a few things in the pipes I hope to get done before I leave - I set myself four or five things I want to complete, a sort of bucket list before I leave.

“I’ll remain on the board for a vetting period because Virgin’s been a life commitment for me, and after that I will stay in an advisory role - this is the job I always wanted and I’m not leaving it do anything else.”

He says the company’s V Australia will be ‘formidable’ once the US Department of Transport approves an extension of its partnership with Delta Airlines, which is likely to occur this calendar year.

“At the moment we’re halfway through a joint venture where we’ll be able to pull our planes, resources and people together to give a better product and service to customers – the ACCC has already approved it.”


Latest News

AGENTS REPORTING STRONG DEMAND FOR MELBOURNE CBD OFFICE SPACE PURCHASES

SEVEN Melbourne CBD offices have recently sold for more than $11 million in total, demonstrating huge demand for c...

DREAMWORLD PARENT COMPANY DEMOTES CEO DEBORAH THOMAS

ARDENT LEISURE, the parent company of Gold Coast's Dreamworld theme park, has reshuffled its core leadership w...

MELBOURNE SHOPPING CENTRE SELLS FOR $48m AS CHINESE DEMAND RAMPS UP

A MELBOURNE shopping centre has been sold for $48 million, bringing the total spent by Chinese investors on Victor...

HOW WEDDING WOES INSPIRED A BOOMING BUSINESS FOR MEGAN ZIEMS

WHEN she was dress shopping for her wedding in 2010, Megan Ziems (pictured left) was disappointed to discover a ma...

Related News

FURNITURE DISRUPTOR SET TO SHARE HIS ONE OF A KIND BUSINESS MODEL

IT'S no secret that Australians love homemaking. Their ceaseless quest to create the perfect place to call hom...

WEEDING OUT THE ASX'S BURGEONING CANNABIS TREND: 8 COMPANIES TO WATCH

A NICHE is budding on the ASX in the form of medical cannabis, an industry which has been on the country's rad...

FRESH CLASS ACTION TO REVEAL ANOTHER SIDE OF SLATER AND GORDON DOWNFALL

ACA LAWYERS has issued a formal letter of demand to Andrew Grech (pictured), managing director of Slater and Gordo...

STARSHIPS WERE MEANT TO DELIVER DOMINO'S PIZZA

NICKI Minaj may have been off the mark when she declared 'starships were meant to fly'. However, she m...

EVENTS COMING UP

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter