Continued favorable cabin factor and stronger yield result in improved earnings for third quarter
Key figures from the SAS Group's Interim Report published today:
• Income before capital gains and nonrecurring items amounted to MSEK 969 during the third quarter of 2006, which is MSEK 350 higher than the corresponding period in 2005.
• Unit cost fell during the third quarter 2006 by 2.1% adjusted for currency and fuel price effects.
• The Group's total revenue increased by 8.9% to MSEK 18,035.
"In most of the Group's markets, passenger growth was between 5 and 15%, which resulted in improved cabin factors and stronger yield. The highly favorable economic conditions in combination with new business models was the most important contribution to this development. There are still no signs of recession in the market, but uncertainty remains about the strength in the market growth going forward and the trend for jet fuel prices.
"The earnings trend is positive, but the strong economy is a significant contributory factor. The result is far from the Group's return requirement, and accordingly, it is necessary to continue focusing full energy on cost-cutting measures," says Gunnar Reitan, Acting President and CEO of the SAS Group.
See the Interim Report at www.sasgroup.net for further detailed information.
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