Nok Air cuts losses: CEO

[snoop1130]

Nok Air cuts losses: CEO

By The Nation

 

 

Nok Air said it continued to improve the bottom line in the first quarter of this year with further reductions in losses, thanks to improvements in all key parameters.

 

Consolidated losses narrowed significantly to Bt26.88 million from Bt295.57 million during the same period last year.

 

Revenue grew by 5.6 per cent from the same quarter last year to Bt4.32 billion as average cost per seat declined and more passengers were carried, despite the rise in fuel costs.

 

"The result is better than expected and it clearly shows that our business turnaround plan has continued to bear fruit and we are on the right course for recovery," Nok Air CEO Piya Yodmani said.

 

Adoption of new marketing initiatives which allow Nok Air to capture several market segments, increased competitiveness, stricter cost control enforcement and productivity enhancement have contributed to improved financial result, he said.

 

Those improvements allowed Nok Air to better deal with the 23.2-per-cent increase in fuel costs in the period, Piya noted.

 

The airline was able to fill more seats in the quarter, thus achieving an average of cabin factor (the proportion of seats filled) of 93.8 per cent, 6.1 points higher than last year in the same quarter.

 

This year the airline carried 3.8 per cent more passengers with a tally of 2.52 million, up from 2.43 million in the same period last year, thanks to the surge in passengers on its expanded Chinese traffic.

 

The quarter saw Nok Air increase aircraft use by 21.5 per cent to 10 hours per aircraft per day from 8.23 hours, contributing to higher productivity. 

 

Piya said at the end of the quarter, Nok Air operated a fleet of 29 aircraft, down from 31 a year ago. The airline added two domestic routes in the first quarter to a total of 25, while its international scheduled routes remained unchanged at three.

 

Source: http://www.nationmultimedia.com/detail/Corporate/30345161

 

-- © Copyright The Nation 2018-5-11

[asiaexpat]

But will Nok Air ever leave on schedule? 5555555

[new2here]

Wow, that’s a massive cabin factor/load factor north of 90% and while their stage length I’ll bet is quite short and with a lack of long-haul flying, their utilization rate of 10+hrs is also quite good... they’re getting quite a lot out of their current fleet.

 

Id be interested to see how their headcount came in- both operational as well as non-op/administrative and management.

 

 

[scorecard]

34 minutes ago, asiaexpat said:

But will Nok Air ever leave on schedule? 5555555

 

Agree. And not one word in the statement by the new CEO about improved customer focus / customer attention.

 

Just yesterday I called 1318 to try to get confirmation that a flight a relative was taking was on time.

 

I clicked for English, eventually a girl spoke in Thai, I asked if she could speak English, reply 'just a little bit' with lots of giggles.

 

I asked my question, clearly she didn't understand at all, she asked again 'I help you', then suddenly another (annoyed) voice asking in good English what my question was.

 

I said I wanted to confirm flight xxx was on time. Answer, just look at the schedule. I replied 'the schedule doesn't show if the flight is on time'.

 

They never seem to understand the most basic concept of 'customer is king'.

 

 

[Lucky mike]

Think they could adopt a few of Richard Branson's ideas !

[Stargeezr]

I thought Nok Air had also cut its CEO, that would save a ton of money as well, since

most CEOS make astronomical wages. Silly me.

Geezer

[new2here]

I thought Nok Air had also cut its CEO, that would save a ton of money as well, since
most CEOS make astronomical wages. Silly me.
Geezer

A popular viewpoint, however, when one views the CEOs actual salary expense, as a percentage of either category-specific total payroll expanses or the larger operating expenses, it does represent a very, very small percentage ... in most cases, not enough to materially alter the carrier CASM outcome.

If we’re talking salary expenses and it’s associated impact on bottom line if you will, then figures like total headcount, CBA wage increases, benefits, etc.... these all tend to have much larger impacts on carriers finances than not paying one single CEO his/her salary- but I do get the optics and populist attraction to the idea.


Sent from my iPhone using Thailand Forum - Thaivisa mobile app

[thedemon]

On 5/12/2018 at 9:54 AM, scorecard said:

 

Agree. And not one word in the statement by the new CEO about improved customer focus / customer attention.

 

Just yesterday I called 1318 to try to get confirmation that a flight a relative was taking was on time.

 

I clicked for English, eventually a girl spoke in Thai, I asked if she could speak English, reply 'just a little bit' with lots of giggles.

 

I asked my question, clearly she didn't understand at all, she asked again 'I help you', then suddenly another (annoyed) voice asking in good English what my question was.

 

I said I wanted to confirm flight xxx was on time. Answer, just look at the schedule. I replied 'the schedule doesn't show if the flight is on time'.

 

They never seem to understand the most basic concept of 'customer is king'.

 

 

 

No one calls an airline to check flight times anymore. They look on the internet. You can see information from the same sources that the airline staff can.

[fanjita]

1 hour ago, thedemon said:

No one calls an airline to check flight times anymore. They look on the internet. You can see information from the same sources that the airline staff can.

... and trains, just not Thai trains