Air New Zealand reports earnings drop

Air New Zealand has reported earnings before taxation of $185 million for the first half of the 2024 financial year.

This represents a decline compared to the same period last year, which saw the airline's highest-ever results after the reopening of New Zealand's borders.

Passenger revenue for the first half reached $3.1 billion, driven by a significant increase in capacity across the international network.

The airline is currently reviewing pricing and capacity in order to address ongoing inflation pressures.

An unimputed ordinary interim dividend of 2 cents per share has been declared.

Air New Zealand also provided a trading update for the second half of 2024, noting a tougher forward trading environment.

As a result, earnings before taxation for the full year are now expected to be in the range of $200m to $240m, including $20m of currently assumed additional Covid-related credit breakage.