MIAMI – ANA Holdings has released its Q1 financial report. It indicates that like most airlines, it is struggling to offset the dramatic decrease in demand in the aviation industry.
The holdings company recorded a revenue of ¥121.6bn. This is a huge downturn from the previous year’s revenue of 500.5 in Q1.
Due to the decrease in demand, ANA had to reduce or suspend many international routes. The airline maintained at least 13.8% flight operations compared to the same period last year. These were there to help repatriate stranded passengers.
ANA also reduced domestic flights due to the state of emergency within Japan. In May, domestic flights were down to 14.8 compared to the previous year.
Comments from ANA CFO
COVID-19 pandemic’s crippling blow to the aviation industry is the cause of this drastic change. According to a recent press release, passenger demand fell to “rock bottom” due to the pandemic.
Ichiro Fukuzawa, Executive Vice President and Chief Financial Officer of ANA said, “While we aggressively worked to offset lost revenue by catering to the increased demand for international cargo transportation.”
Fukuzawa said that ANA was doing this by “arranging many non-scheduled flights and utilizing large freighter aircraft, we were unable to offset the unprecedented impact of COVID-19 and ended with a large quarterly loss.”
ANA CARE PROMISE
Both ANA and Peach Aviation (airlines owned by ANA Holdings) implemented measures to increase flexibility for passengers.
These measures help those who plan necessary travel during the volatile situation by allowing passengers flight changes or refunds.
ANA also administered strict hygiene measures across its network to increase traveler safety. The airline implemented its “ANA Care Promise” to provide passengers with clean check-in counters, aircraft, and lounges.
ANA HOLDINGS COMPANIES
ANA Holdings, which is the parent company of a variety of airlines and aviation companies. Airlines under the umbrella of ANA Holdings are All Nippon Airways, Air Japan, ANA Wings and Peach Aviation.
Companies within ANA Holdings include many aviation logistics companies. These range from aviation maintenance companies, ground support companies, vehicle maintenance, inflight catering to international cargo among others.
In total, the holdings company comprises 78 individual companies.