Norwegian announces record 3Q results

Norwegian has reported a third quarter 2011 EBITDA of NOK 1 billion, the company’s best ever quarterly results.

The company’s overall costs were reduced by 10%, with the airline saying that new aircraft saved as much as NOK 47 million in fuel costs compared to the same quarter previous year.

Norwegian also set a new record for passenger carried in the third quarter with over 4.6 million, 21% more than last year. The third quarter load factor was up 4 percentage points compared with the previous year, to 84%. At the same time, the total capacity increased by 22%.

Turnover in the third quarter was NOK 3.4 billion. Unit costs excluding fuel were down 10% and by 2% including fuel, despite fuel prices being almost 50% higher.

“We are very satisfied with our best ever quarterly results. Lower cost is key to increased competitiveness. This quarter alone we have reduced our overall costs by as much as 10%. Even excluding the high fuel prices, we manage to reduce our cost, thanks to our growing fleet of new and more fuel-efficient aircraft,” commented Norwegian CEO Bjørn Kjos. “We are now starting to reap significant benefits of having a new, greener, and more cost effective and unitary fleet.”

The net result for 3Q was a profit of NOK 495 million, down from NOK 528 million in 3Q10, though NOK 175 million of 3Q10 revenue was related to damage payment from SAS for industrial espionage against Norwegian.

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