ANA Holdings (ANAHD) has reported its financial results for the three months ended June 30, 2020.
In the first quarter of fiscal year 2020 the global economy was characterized by widespread economic challenges due to the impact of COVID-19. Under these conditions, operating revenues decreased to 121.6 billion yen due to the severe impact across all segments, and net loss attributable to owners of the parent was 108.8 billion yen.
Passenger demand for both international and domestic flights declined significantly, due to worldwide government travel restrictions and the Declaration of the State of Emergency from the Japanese government. Against this backdrop, AHAHD has raised its efforts to minimize both variable and fixed expenses by scaling down operations and personnel costs. As a result, expenses for the Group were reduced by more than 200 billion yen from the previous year. While ANAHD aggressively worked to offset lost revenue by catering to the increased demand for international cargo transportation by arranging many non-scheduled flights and utilizing large freighter aircrafts, it was unable to offset the unprecedented impact of COVID-19 and ended with a large quarterly loss. (US$1.00 = JPY105.14 at time of publication.)
