Thai Airways faces more bad news with bigger losses in Q2

[webfact]

Thai Airways faces more bad news with bigger losses in Q2

By The Thaiger

 

 

Thai Airways’ problems appear to be compounding with a perfect storm of an ageing fleet, a plateauing of tourist intake and increased competition from newer, more nimble budget airlines.

 

The country’s national pride and joy had a poor Q2 this year, compounding years of declining profit results. The  second quarter loss more than doubled losses for the same quarter last year as the global economic slowdown took a toll on the airline’s revenue.

 

Thai Airways reported a net loss of 6.88 billion baht in Q2, 2019. In the same quarter last year the loss was 3.1 billion baht.

 

Aviation analysts say the legacy airline struggles to operate with ageing aircraft, declining tourist arrivals and a strong Thai currency. In the past 12 months the Thai baht has appreciated 8% against the US dollar, and appreciated against many other world currencies affecting decisions of tourists to travel to Thailand.

 

The Airline has been criticised for resisting changes to its business culture and upper management – long accused of cronyism, nepotism and inefficiencies.

 

New Transport Minister Saksayam Chidchob has already thrown his supported behind Thai Airways’ plan to buy new aircraft. Last week Thai Airways executives inspected the new Airbus A220 during its tour of south east asia – a smaller single-aisle new generation jet.

 

Source: https://thethaiger.com/news/business/thai-airways-faces-more-bad-news-with-bigger-losses-in-q2

 

 

-- © Copyright The Thaiger 2019-08-12

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[steven100]

Not unexpected …. a friend flew in on Friday night from Australia and told me it was a horrible trip.

Old plane from Brisbane, I think he said it was a 747,  also a box under the seat in front prevented him from putting his legs straight under.  He said the food was terrible, and when he got to Swappy the que's were horrendous … apparently it was around 1 1/2 - 2 hrs before he got through immigration.

 

Thai airways needs an axe ….it's carrying far too many freeloaders within management especially.  

Chop 50% of the staff and cut the overheads …..  quickly,  and you may just survive.

 

 

[Fex Bluse]

38 minutes ago, webfact said:

The Airline has been criticised for resisting changes to its business culture and upper management – long accused of cronyism, nepotism and inefficiencies.

Yes, this is true.

Any plans to change?

No?

OK, thank you.

[ezzra]

46 minutes ago, webfact said:

The Airline has been criticised for resisting changes to its business culture and upper management – long accused of cronyism, nepotism and inefficiencies.

There... this says it all, and as long as the above conditions and similar adverse management style will continue, so will Thai to fall...

[BuckBee]

they need concentrate on flights to india, all the rich indians flying into bkk on free visa exempt will turn the airlines profits around 4th quarter lol .

[leeneeds]

I fly Thai mostly myself, although the seats have somewhat lost their comfort by years of use, the direct flights offered is my main reason for choosing this Airline,  I found the meals good on my flights, 

The option to upgrade is something the airline should look at once the cabin doors are sealed, so many times I see the business section with only a few people, they could offer the upgrade for available seats after take off, and  after economy meal time, selling those seats for an extra 2 -300 dollars for the rest of a flight it would be something I would take up for the extra comfort.

 

[Da Nang]

The Flag Carrier has worst lounges at it home base.

 

Home page, try to buy tickets, over ten years, impossible!

 

Use miles, never working!

 

Most expensive airline in the region, totally crap.

 

Domestic or international, Thai Airways, NEVER!

[Cadbury]

32 minutes ago, steven100 said:

Not unexpected …. a friend flew in on Friday night from Australia and told me it was a horrible trip.

Old plane from Brisbane, I think he said it was a 747,  also a box under the seat in front prevented him from putting his legs straight under.  He said the food was terrible, and when he got to Swappy the que's were horrendous … apparently it was around 1 1/2 - 2 hrs before he got through immigration.

 

Thai airways needs an axe ….it's carrying far too many freeloaders within management especially.  

Chop 50% of the staff and cut the overheads …..  quickly,  and you may just survive.

 

 

It is a state run enterprise of which the government owns 51%. That should give the PM the opportunity to take control of it like he does just about everything else.

He has management skills like no other and if anyone can bring it back from the edge of bankruptcy he is the one to do it.....or more likely, put it out of it's misery completely. 

[NightSky]

Struggling airlines, just another sign of a major economic recession on the horizon.

 

Prepare now, the economic storm is just around the corner.

[chainarong]

1 hour ago, leeneeds said:

I fly Thai mostly myself, although the seats have somewhat lost their comfort by years of use, the direct flights offered is my main reason for choosing this Airline,  I found the meals good on my flights, 

The option to upgrade is something the airline should look at once the cabin doors are sealed, so many times I see the business section with only a few people, they could offer the upgrade for available seats after take off, and  after economy meal time, selling those seats for an extra 2 -300 dollars for the rest of a flight it would be something I would take up for the extra comfort.

 

The six hour run from Per to BKK in Business is always nearly full, when I do get on-board,  which isn't very often these days.

[Oziex1]

11 minutes ago, chainarong said:

The six hour run from Per to BKK in Business is always nearly full, when I do get on-board,  which isn't very often these days.

I still find it an acceptabe flight from Perth with short transit through immigration. 

[gunderhill]

No problem, buy  more  planes, spend  more  money..oh and dont forget cabin crew  dont get involved with politics.....MOST  important

[Hayduke]

 

How about a radical solution like running the airline as if it were a business…rather than a fleet of free private jets for the generals and their government lackeys.

 

 

[RJRS1301]

777 flight Bne to BKK business nearly always full both ways.

Only direct flight to Thailand from Bne.

Ticket price always more expensive as only direct flight

 

[PatOngo]

For an airline that has been losing money for years the answer is spend, spend, spend. New planes and bigger, more comfortable seats for the upper echelon of Thailand Inc. at the pointy end. Raise economy fares to cover for them. What could possible fail?

[leeneeds]

33 minutes ago, chainarong said:

The six hour run from Per to BKK in Business is always nearly full, when I do get on-board,  which isn't very often these days.

DID the run 3 weeks ago and it was half empty , both ways,

as you know depends on day and time you fly, 

[Mitker]

TG repeatedly offers me a direct flight to my home country at around 3 times the price the 1 stop flights of competitors from neighbor European countries (flag carriers)

 

Surprise

I fly the competition then take a short train ride

[leeneeds]

1 hour ago, Da Nang said:

The Flag Carrier has worst lounges at it home base.

 

Home page, try to buy tickets, over ten years, impossible!

 

Use miles, never working!

 

Most expensive airline in the region, totally crap.

 

Domestic or international, Thai Airways, NEVER!

Nothing wrong with the lounge at Survanabhumi ,

free wifi, free food, free papers, free shower, free towels,  free drinks, free printer.  

I have up graded many times, and at their service centre always get sorted out, 

As now I have to cancel flights to Perth and change to Brisbane the change has not been a problem. 

Have no idea what you expect out of a lounge, or the service offered by the carrier, at lounges.

[ChipButty]

I think there is too many Freeloaders on Thai, a Farang guy I knew was knocking off one of them trolley dollies who did the European routes he was always flying where she was going and staying in her room at the hotel

[JAG]

1 hour ago, Cadbury said:

It is a state run enterprise of which the government owns 51%.

And that is the hub of the problem...

 

See what I did there?

 

????

Edited August 12, 2019 by JAG

[ikke]

1 hour ago, Cadbury said:

It is a state run enterprise of which the government owns 51%. That should give the PM the opportunity to take control of it like he does just about everything else.

He has management skills like no other and if anyone can bring it back from the edge of bankruptcy he is the one to do it.....or more likely, put it out of it's misery completely. 

He  and his Kakkis are the cause of the problem, take them out of the control might help the airliner back on the track , he totally has no skills at all !

[darrenr]

34 minutes ago, RJRS1301 said:

777 flight Bne to BKK business nearly always full both ways.

Only direct flight to Thailand from Bne.

Ticket price always more expensive as only direct flight

 

Wrong ! Air Asia fly Brisbane to bangkok direct at a lot cheaper price ( to Don Meung)

[RJRS1301]

2 minutes ago, darrenr said:

Wrong ! Air Asia fly Brisbane to bangkok direct at a lot cheaper price ( to Don Meung)

Ok, relatively new service, but dislike AA and DMK

[NorK]

AirAsia now has direct flights to Brisbane from Bangkok, but from Don Meuang.

[wreckingcountry]

This Airline has a “licence to print money “ Gov always bailing it out with more borrowed money !

 

 

Sent from my iPhone using Thaivisa Connect

 

[Cadbury]

1 minute ago, JAG said:

And that is the hub of the problem...

 

See what I did there?

 

????

The State Railway of Thailand is a close relative. It is over 100 billion baht in debt plus another 25 billion payout to Hopewell. Taxpayers subsidising management bloat and incompetence.

[LukKrueng]

2 hours ago, leeneeds said:

I fly Thai mostly myself, although the seats have somewhat lost their comfort by years of use, the direct flights offered is my main reason for choosing this Airline,  I found the meals good on my flights, 

The option to upgrade is something the airline should look at once the cabin doors are sealed, so many times I see the business section with only a few people, they could offer the upgrade for available seats after take off, and  after economy meal time, selling those seats for an extra 2 -300 dollars for the rest of a flight it would be something I would take up for the extra comfort.

 

usually if you ask for it on board they will, for lower price than it would be at check in

[sammieuk1]

Payback for blacklisting me 3 years ago for asking a simple question of why they want £35 per kilo to take an extra bag. may the great news continue with even bigger losses????

[Chang_paarp]

7 minutes ago, LukKrueng said:

usually if you ask for it on board they will, for lower price than it would be at check in

Might that be because of the "reduced paperwork" and where the funds go?

[G950]

Avoid their 747 business class seats, they are not even at the same standard as a premium economy seat in any of the current 5 star airlines. Old and tired seats, no lay flat option.