Aircraft and air freight leasing company Atlas Air Worldwide Holdings reported a loss for 2019 as it wrote down parts of its fleet due to lower cargo business during the year.
The net loss was US$293,1 million, reflecting a special cash charge of US$503,1 million. Revenue in 2019 increased slightly to 2,7 billion from 2,6 billion a year earlier.
“Reported fourth-quarter and full-year 2019 results primarily reflected a non-cash special charge associated with the reduction in the company's 747-400 fleet due to global macroeconomic and air freight conditions, resulting in lower 747-400 revenues and utilization. XNUMX commercial loads, as well as the disposal of certain non-essential aircraft and engines Dry Leasing”, says the company in a statement on February 20.
Given this, the global provider of third-party aircraft and aviation operational services expects 2020 to be better despite the ongoing global issues surrounding trade and the short-term coronavirus crisis.
“Looking forward, we anticipate that our financial performance in 2020 will be an improvement over 2019”, said Chief Executive John Dietrich.
“Our focus remains on Express, e-commerce, the US military and the fastest growing markets where demand for our aircraft and services is solid. As the global supply chain rebalances, we will continue to leverage our significant commercial charter business to capitalize on customer demand.”, she adds.
The coronavirus, which has decimated air travel in North Asia since December, has also had a negative effect on the company's results, but Atlas says it cannot quantify this at this time.
“The air freight industry, like most others, is experiencing the impacts of the unfortunate coronavirus epidemic”, says Dietrich. “The effects are yet to be fully determined and therefore our visibility for the full year ahead is evolving.”
