Alliance Aviation Services has announced a net profit of $7.1 million for the second half of 2013, a drop of 34.2 per cent over the previous corresponding period’s $10.8 million.
The airline says it is focussing on securing long-term sustainable fly in-fly out contracts following the draw-down of ad hoc charters in recent months. Total revenue Alliance for the July 1 to December 31 period was $104.5 million, 9.1 per cent less than the $115 million is recorded for the same time in 2012, while operating expenses were $80.5 million compared to $86.6 million.
“In the half year ended 31 December 2013, total revenue was lower than the previous corresponding period as the company transitioned from the shorter term nature of wet lease and ad hoc charter income to longer term FIFO contracts,” the airline said in a statement. “Because of the nature of these longer-term contracts with more certain revenue streams, the margin is generally not as high as the ad hoc nature of charter and wet lease income.”
“Alliance remains committed to its strategy of servicing long term contracts with top tier miners and resource houses whose projects are in production,” the statement added. “The company has spent the last six months consolidating and preparing for future growth. This has involved tendering and winning new long-term contracts and contract extensions with existing customers, identifying unique product offerings and implementing restructuring initiatives to improve organisational efficiency.”
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