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Jin Air |
[Alpha Biz= Reporter Kim Sangjin] Jin Air Reports Decline in Q2 Operating Profit and Swings to Net Loss
On August 8, Jin Air announced its financial results for the second quarter of 2024, showing a revenue of 308.2 billion won and an operating profit of 900 million won. However, the company reported a net loss of 5.9 billion won for the quarter, marking a significant shift from the previous year.
According to the disclosure on the Financial Supervisory Service’s electronic disclosure system, Jin Air's Q2 revenue increased by 19% compared to the same period last year. Despite this, its operating profit dropped by 94.9%.
For the first half of the year, Jin Air's revenue reached 738.5 billion won, up 20.8% year-over-year. However, its operating profit for the first half decreased by 3.2% to 99.4 billion won, and net profit fell by 11.8% to 62.4 billion won compared to the first half of the previous year.
The company attributed its Q2 profitability issues to increased exchange rates and decreased sales prices, which affected its operating profit. Nonetheless, Jin Air credited its efficient aircraft operations, including new routes and increased frequencies on popular routes, for maintaining profitability for seven consecutive quarters since Q4 2022. The diversification of routes, particularly in Japan and Southeast Asia, and the introduction of new regional services contributed to increased demand and revenue.
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
