Taipei, June 12 (CNA) Taiwan’s StarLux Airlines announced on Sunday that it plans to raise more funds later this year to boost its working capital, despite an improvement in its financial situation in the first quarter.
StarLux spokesperson Nieh Kuo-wei (聶國維) told CNA that the airline, which began commercial flights in January 2020, may inject additional capital or seek financing, following an earlier capital injection. NT$4 billion ($136.5 million) in April.
The company has been gradually cutting losses, Nieh said, citing its first-quarter revenue of NT$270 million, up 46.74 percent from NT$184 million for the same period last year. last.
However, according to the Civil Aeronautics Administration’s (CAA) first quarter report on Taiwanese carrier operations, StarLux still reported a net loss of NT$1.2 billion, which increased the company’s cumulative losses. airline since inception at NT$8.1 billion.
Nieh said the airline remains under pressure due to COVID-19, but is seeing an upturn in the passenger flight business as countries around the world gradually ease border controls.
The carrier still plans to launch long-haul flights to the US West Coast in the first quarter of 2023 as planned, as post-pandemic travel could generate significant revenue, Nieh said.
StarLux also plans to take delivery of five Airbus A321neo single-aisle jets, as well as two A330neos and two A350s, Nieh said.
This will strengthen its current fleet of eight A321neos and two A330neos.
According to the CAA, the only domestic airlines to report a net profit in the first quarter were China Airlines and EVA Airways, with NT$3 billion and NT$3.3 billion respectively.
StarLux reported the heaviest losses among the five remaining airlines which also include Tigerair Taiwan, Mandarin Airlines, UNI Air and Daily Air Corporation.
May 31: Air fares set to rise due to soaring fuel prices: EVA Air
May 10: China Airlines extends momentum and reports first quarter profit
April 14: StarLux founder to lead regional carrier UNI Air as chairman
February 19: StarLux takes delivery of the first Airbus A330neo