Flybe Group Plc (LON:FLYB) boasted a 6.4% increase in annual group revenue, to £752.6mln, though it wasn’t sufficient to lift the budget airline into profitability.
The airline reported a £9.4mln loss for the year ended March 31, narrowed from a restated £48.5mln in the preceding year – albeit, the 2018 figure also includes some £11.1mln of non-cash revaluation gains related to US dollar denominated aircraft loans.
An adjusted loss before tax was reported at £19.2mln, which compared to a £6.7mln in preceding period.
Net debt reduced to £59.1mln, from £64.0mln a year before.
READ: Flybe revenues hit by 'Beast from the East'
Flybe’s outlook statement noted a challenging European aviation market with excess seat capacity in the short-haul market, compounded by a weaker pound and higher fuel prices.
“Within this market, the board believes that Flybe offers a differentiated regional business model and has the right strategy to deliver a sustainable profitable future,” the company stated.
The airline said that it had seen an encouraging start in the early weeks of the new financial year - it highlighted a higher proportion of forward seat sales, a 10% rise in revenue per seat and 1.4% increase in passenger revenue.
Christine Ourmières-Widener, Flybe chief executive, said: “Flybe has made significant progress during my first full year as CEO.
“With our fleet size under control, we are already delivering improvements to passenger yield, load factors and revenue.”
She added: "There is growing awareness of the importance of regional air connectivity, not just to the economy and in connecting people, but also in connecting customers to long-haul services with increased interest from legacy carriers.
“This is shown by the success of our new routes in Heathrow and the growth in our codeshares. Flybe has a unique position in UK connectivity and in its relationship with 9 million UK passengers.”