Jin Air Reports Operating Loss of 185 Billion KRW Last Year... Direct Hit from Prolonged COVID-19 Pandemic

[Asia Economy Reporter Dongwoo Lee] Jin Air announced on the 4th that its operating loss last year increased by 278% to 184.7 billion KRW compared to the previous year (48.8 billion KRW).

Sales decreased by 70.1% compared to the previous year, and operating loss and net loss for the period expanded by 135.9 billion KRW and 133.7 billion KRW respectively compared to the previous year.

Jin Air explained that it could not escape poor performance last year due to a sharp decline in business volume caused by the prolonged COVID-19 pandemic.

However, by expanding domestic routes with new flights to Daegu, Ulsan, Pohang, Gunsan, Wonju, and Yeosu airports, and strengthening the cargo business through the conversion of B777-200ER into a dedicated cargo aircraft and the introduction of cargo seatbacks, it reduced losses. It also cut costs through measures such as implementing rotational leave and executives returning their salaries.

Jin Air stated, "With the introduction and progress of COVID-19 vaccinations, we expect travel demand to recover in the second half of this year," adding, "We will pursue maximizing profits through proactive route and fleet management and cost reduction according to market conditions."

This content was produced with the assistance of AI translation services.