Tag Archives: Finnair

Finnair reaches new passenger records

Finnair made this announcement:

Passenger load factor improved in December year-on-year and annual number of passengers reached new all-time high with 14.7 million and 10.3% growth

In December, Finnair experienced strong demand and carried 1,154,000 passengers, 11.7% more than in the corresponding period of 2018. The overall capacity measured in Available Seat Kilometres (ASK) increased in December by 12.3%. Finnair’s traffic measured in Revenue Passenger Kilometres (RPKs) increased by 13.5%, and the Passenger Load Factor (PLF) increased year-on-year by 0.8% points to 77.2%.

Finnair’s long-haul capacity increased year-on-year with two new A350 aircraft that entered the service after the comparison period. The ASK growth in Asian traffic was 13.1%, mainly due to the doubling of Hong Kong frequencies as well as the openings of new Daxing (Beijing) and Sapporo routes in November and December respectively. The North American capacity increased by 26.6% following the opening of new Los Angeles route in March.

In European traffic, the ASKs were up by 9.6%. The growth derived from additional seating capacity in some of the existing narrow-body aircraft and the changes in route network. The added capacity was directed especially to London. The ASKs in domestic traffic increased by 3.8% mainly due to the added capacity to longer flights.

RPKs increased in Asian traffic by 13.0%, in North American traffic by 28.6%, in European traffic by 12.0% and in domestic traffic by 6.7%. The PLF was 77.7% in Asian traffic, 81.2% in North American traffic, 77.3% in European traffic and 66.4% in domestic traffic.

Passenger numbers increased in Asian traffic by 12.7%, in North American traffic by 25.1%, in European traffic by 13.5% and in domestic traffic by 4.7%.

Available scheduled cargo tonne kilometres increased by 10.9% year-on-year and revenue scheduled cargo tonne kilometres increased by 0.8%. Overall global uncertainty in world trade continues to press global air freight market and was especially visible in Finnair’s cargo markets in Asia. Cargo performance in early December was still shadowed by the Finnish postal and support strikes in late November.

In December, 81.4% of all Finnair flights arrived on schedule (63.4%).

Traffic statistics for January 2020 will be published on Friday 7 February 2020.

Finnair Traffic Performance December 2019 
Month  % Change   YTD  % Change  
Total traffic 
Passengers 1,000 1,154.0 11.7 14,650.4 10.3
Available seat kilometres mill 3,914.7 12.3 47,188.1 11.3
Revenue passenger kilometres mill 3,023.7 13.5 38,533.6 11.2
Passenger load factor % 77.2 0.8p 81.7 -0.1p
Cargo tonnes total 13,811.1 2.9 173,282.1 9.6
Available tonne kilometres mill 579.2 12.7 6,921.1 11.0
Revenue tonne kilometres mill 356.1 10.2 4,541.4 10.7
Asia
Passengers 1,000 Asia 202.1 12.7 2,555.8 7.2
Available seat kilometres mill Asia 1,979.4 13.1 23,303.6 10.7
Revenue passenger kilometres mill Asia 1,539.0 13.0 19,329.0 7.4
Passenger load factor % Asia 77.7 -0.1p 82.9 -2.6p
Europe 
Passengers 1,000 Europe 671.4 13.5 9,264.0 12.9
Available seat kilometres mill Europe 1,386.4 9.6 17,893.4 9.8
Revenue passenger kilometres mill Europe 1,071.9 12.0 14,472.4 13.0
Passenger load factor % Europe 77.3 1.6p 80.9 2.3p
North Atlantic 
Passengers 1,000 North Atlantic 34.2 25.1 457.0 27.4
Available seat kilometres mill North Atlantic 326.2 26.6 4,068.4 29.7
Revenue passenger kilometres mill North Atlantic 265.0 28.6 3,470.4 32.1
Passenger load factor % North Atlantic 81.2 1.2p 85.3 1.5p
Domestic 
Passengers 1,000 Domestic 246.4 4.7 2,373.6 1.9
Available seat kilometres mill Domestic 222.6 3.8 1,922.8 1.2
Revenue passenger kilometres mill Domestic 147.8 6.7 1,261.8 2.6
Passenger load factor % Domestic 66.4 1.8p 65.6 0.9p
Cargo Traffic 
Europe tonnes 3,199.4 22.4 35,182.0 53.7
North Atlantic tonnes 901.3 16.1 13,574.4 30.1
Asia tonnes 9,673.7 -3.1 123,953.4 6.5
Domestic tonnes 36.7 -24.4 572.3 0.8
Cargo scheduled traffic total tonnes 13,811.1 2.9 173,282.1 15.3
Cargo flights, tonnes** 0 0 0 0
Cargo Traffic tonnes total 13,811.1 2.9 173,282.1 9.6
Available tonne kilometres* mill 151.7 10.9 1,871.9 13.9
Revenue tonne kilometres mill 85.6 0.8 1,092.8 9.2
Available sched. cargo tonne kms*, mill 151.7 10.9 1,871.9 15.0
Revenue sched. cargo tonne kms, mill 85.6 0.8 1,092.8 10.6
Cargo load factor* % 56.4 -5.6p 58.4 -2.5p
– North-Atlantic cargo load factor* % 54.9 -2.3p 56.2 4.1p
– Asia cargo load factor* % 60.6 -8.5p 63.3 -5.1p
Scheduled traffic Cargo load factor*, % 56.4 -5.6p 58.4 -2.3p

* Operational calculatory capacity

** Including purchased traffic

  • Change %: Change compared to the figures of the respective periods in the previous year (p = points).
  • Available seat kilometres. ASK: Total number of seats available. multiplied by the number of kilometres flown.
  • Revenue passenger kilometres. RPK: Number of revenue passengers carried. multiplied by kilometres flown.
  • Passenger load factor: Share of revenue passenger kilometres of available seat kilometres.
  • Available tonne kilometres. ATK: Number of tons of capacity for carriage of passengers. cargo and mail. multiplied by kilometres flown.
  • Revenue tonne kilometres. RTK: Total revenue load consisting of passengers. cargo and mail. multiplied by kilometres flown.
  • Overall load factor: Share of revenue tonne kilometres of available ton kilometres.

Finnair aircraft photo gallery:

Finnair reveals the completion of its flagship non-Schengen lounges

Finnair has made this announcement:

Finnair unveils the final phase of its non-Schengen lounge expansion with the opening of its new Business Class Lounge. The new Platinum Wing Lounge was opened in June of this year. Showcasing contemporary Nordic design throughout, the lounge offers a series of new spaces to explore and upgraded food and beverage options.

“With more passengers flowing through Finnair’s home hub of Helsinki Airport, the new lounge complex increases seating capacity and space,” says Karim Al-Soufi, Vice President of Ground Experience at Finnair. “Together, the new combined lounge complex provides 200 additional seats over the lounges they replace.”

A Nordic interior that stands the test of time 

The aesthetic of the new lounge complex marks the emergence of Finnair’s new design language which centres on Nordicness, simplicity, clean lines, natural materials and texture to provide a warmer and more “human” experience.

The furniture selection includes both modern and classic design pieces from esteemed Nordic brands that stand the test of time. For example, the entrance area features Eero Aarnio’s ball chairs.

Alongside the previously opened Platinum Wing Lounge, the Business Lounge was designed as a collaboration between Helsinki-based KOKO3, London-based Tangerine and Finnair’s internal design team.

A fresh Nordic menu tailored to international tastes

Guests can taste the Nordics with a menu that features the best local produce in season. The lounge is operated in partnership with Finnish food provider Fazer, who will be preparing food in a new open kitchen concept which is coupled with a dedicated dining area. The rotating menu consists of a choice of three main courses with meat, fish and vegetarian options, six salads and a wide selection of desserts.

A new full-service bar will operate at peak times offering an enhanced range of beverages including premium alcohol and specialty coffees. Several drinks stations are dotted throughout the lounge, alongside a “quick coffee” area at the front of the lounge for those who are in a hurry.

Letting people choose how to spend their time

The new lounge is broken up in a variety of smaller “pockets” aligned to different customer needs and activities. The deeper you go into the lounge, the quieter and more private it becomes. Several different seating options are available, ranging from social open banquet style seating suitable for groups through to more private solo seating. A new family pocket stocked with games and activities is available for those travelling with children.

There are power outlets at almost every seated position. Soundproof phone booths and printing facilities are also available. For those wishing to freshen up, five newly refurbished shower suites stocked with L:a Bruket cosmetics can be booked with a touchscreen reservation system.

Entrance eligibility and operating hours
The Business Lounge is available to all Finnair Business Class customers, Finnair Plus Gold and oneworld Sapphire members when the departure flight leaves from the non-Shengen area and is operated and marketed by a oneworld airline. All other customers can purchase lounge access for off-peak hours either in advance or at the lounge reception. The Lounge fits 600 customers.
The lounge is open daily from 5:30am to 12 midnight.

Four airlines in the Atlantic Joint Business build an even more extensive network for summer 2020

Finnair has made this announcement:

The airlines in the Atlantic Joint Business, American Airlines, British Airways, Finnair and Iberia, are opening additional routes across the Atlantic for the Summer 2020 season.

In total, 8 new routes will be added for next summer. With these additions, the four airlines will together offer over 14,500 additional seats on a total of 105 routes, with over 1,000 weekly frequencies between both continents.

The new routes include:

Chicago O’Hare – Budapest
Chicago O’Hare – Prague
Chicago O’Hare – Krakow
Philadelphia – Keflavík
London Heathrow – Portland
Madrid – Washington Dulles
Paris Orly – Las Vegas
Paris Orly – Boston

Since 2013, Finnair has partnered with fellow oneworld alliance members American Airlines, British Airways and Iberia to provide customers with more flight choices, better connections and better pricing on transatlantic routes through its Atlantic Joint Business (AJB).

In 2020, Finnair will fly to five Trans-Atlantic destinations, including year-round services to New York JFK and Los Angeles LAX as well as seasonal flights to Chicago O’Hare, San Francisco and Miami. Finnair has significantly increased its US capacity in recent years by adding over 88 % of seats on the transatlantic corridor since 2015. Last September, Finnair announced David Posey as its first ever US Signature Menu Chef. Chef Posey curated Nordic-inspired dishes for Business class customers on flights departing from the United States to Helsinki.

Finnair aircraft photo gallery:

 

Finnair participates in a feasibility study on power-to-x pilot to advance the development of carbon neutral synthetic fuels

Finnair has made this announcement:

Lappeenranta-Lahti University of Technology LUT in Finland and a group of companies, including Finnair, have started a feasibility study for a synthetic fuels pilot production plant. The intended industrial scale pilot facility is based on power-to-x technology, and the target is to produce carbon neutral fuels for transportation.

The pilot plant would be located in Joutseno, Eastern Finland. It would use CO2 from Finnsementti cement facility in Lappeenranta and the excess hydrogen from Kemira’s production as main raw materials. CO2 and hydrogen can be brought together in a synthesis process, giving synthetic methanol as a result.

Methanol can be further processed into for example synthetic, emission free transportation fuels.

The project gets in main funding from the regional council of South Carelia. Finnair, Finnsementti, Kemira, Neste, St1, Wärtsilä and Shell research center in the Netherlands are also funding the study, along with local manufacturing companies Premekon, Terästorni, Jotex Works and Refinec in the region. Also the city of Lappeenranta is a partner in the project.

Image: Finnair

“Synthetic fuels are a key part of the long-term solution for carbon neutral aviation”, says Anne Larilahti, Vice President, Sustainability, Finnair. “It is natural for us to be supporting this important study to advance the development of synthetic fuels in Finland.” Finnair is committed to long-term carbon neutrality.

The LUT University is in charge of conducting the feasibility study, including calculations for investments and operating costs, modeling the production process, estimating the growth potential of the market for carbon neutral fuels, developing alternative business opportunities and evaluating the sustainability of the production and the end products.

The LUT university has piloted the production of hydrocarbon to replace fossil fuels in laboratory scale since 2017.

Finnair to cancel flights from Monday November 25 due to industrial action related to the Finnish postal service labor dispute

Finnair has made this announcement:

The Finnish aviation labour union, IAU, has informed Finnair of a support strike for Monday November 25, related to the ongoing labour dispute at Posti, the Finnish postal service. Finnair is not a party in the dispute, but the planned support strike would have major impacts on Finnair flights operations. The strike will affect several critical services at Helsinki Airport, including ground services such as loading and unloading of aircraft, fueling and push-back of aircraft, as well as Finnair customer services at Helsinki Airport, catering of Finnair flights and Finnair maintenance operations.

As the parties have not reached an agreement, Finnair now has to cancel flights from Monday. Finnair has already cancelled 26 flights from Sunday evening November 24 and from Monday morning November 25, and will now cancel approximately 250 more flights from Monday, November 25.

A list of the cancelled flights and information for customers is available at https://www.finnair.com/fi-en/flight-information/travel-updates

Finnair had 377 flights in its traffic program for Monday, and the company expects to be able operate approximately 120 of them.

“Finnair is not a party in the dispute related to the support strike, however it’s impacts are now seriously disrupting the travel plans of over 20 000 Finnair customers,” says Jaakko Schildt, Chief Operating Officer, Finnair. “We are extremely sorry for the trouble and concern this situation is causing our customers, and we are doing our best to mitigate the impacts to them. We are working to find suitable reroutings for customers impacted by this, but rerouting such a large number of customers unfortunately takes some time. ”

Finnair informs its customers of flight cancellations via short messages and email, and offers reroutings to customers, whose flights are cancelled. As availability of alternative flights is limited, rerouting may take some time. Customers can check their new routings via Finnair’s web pages. If a suitable rerouting is not possible, customers can seek a refund for the ticket price.

Finnair adds capacity in Japan – Sapporo as a year-round destination

Finnair has made this announcement:

As part of its strategy of sustainable profitable growth, Finnair extends the operating season of its newly announced Sapporo route to year-round operations. Finnair will fly between Helsinki, Finland and Sapporo in Hokkaido, Japan with an Airbus A330 aircraft twice a week year-round from December 15, 2019.

Hokkaido is well known for its stunning landscapes and fantastic outdoor activities both in summer and winter. Hokkaido is a popular winter and skiing destination, and famous for its seafood, ramen and Japanese onsen or hot spring spas.

Finnair is the only European airline to operate direct scheduled flights between Sapporo and Europe.

Flights to Sapporo are operated in the winter season on with departures from Helsinki on Sundays and Thursdays, and departures from Sapporo on Mondays and Fridays. In the summer season the operating days are Sundays and Wednesdays from Helsinki and Mondays and Thursdays from Sapporo. The flight time is approximately nine hours.

Sapporo is Finnair’s fifth destination in Japan, in addition to Tokyo Narita, Osaka, Nagoya and Fukuoka. As announced earlier, Finnair will also open direct daily route to Tokyo´s Haneda Airport as of March 2020. The new frequencies to and from Haneda will be in addition to Finnair’s daily flights to Tokyo’s Narita Airport.

Finnair will also add capacity to Osaka in Japan by adding two weekly frequencies on the route starting as of the start of the 2020 summer season. The total number of Finnair´s weekly flights on the route will thus increase to 12.

Both Sapporo and Osaka routes are operated in codeshare with Finnair´s long-standing partner Japan Airlines. Finnair is a member of Siberian Joint Venture together with Japan Airlines, British Airways and Iberia. Together, the member airlines offer more choice and flexibility for customers traveling between Europe and Japan.

Finnair updates its financial targets, aims for sustainable profitable growth

Finnair Airbus A330-302 OH-LTT (msn 1088) LHR (SPA). Image: 948136.

Finnair has issued this statement:

Following a period of accelerated growth, Finnair is now moving into a new phase. The company seeks to grow in line with the market, targeting sustainable and profitable growth.

Finnair’s Board of Directors has defined the following targets for the 2020-2025 strategy period:

  • Comparable EBIT of over 7.5% over the cycle (at constant fuel and currency), after a 12-18 month build-up period
  • ROCE of over 10% over the cycle (at constant fuel and currency), after a 12-18 month build-up period
  • On-time-performance of over 85%
  • Improved Net Promoter Score and improved employee Net promoter score

Finnair aims to deliver these targets through a focused strategy that leverages the geographical advantage of Finnair’s hub in connecting Europe and Asia.

During its Capital Markets Day on November 12, 2019, Finnair will elaborate on network and fleet optimization, operational excellence, retailing strategy and sustainability. Finnair’s management will also discuss its estimated investments for the strategy period and their potential financial implications.

Additional guidance for the 2020-2025 strategy period includes the following indicative items:

  • Capacity growth, measured in Available Seat Kilometres (ASK) of 3-5% CAGR
  • Optimize liquidity, yet keeping cash to sales ratio above 15% (34% as per 30 September 2019)
  • Gearing ratio 175% at maximum (74% as per 30 September 2019)
  • Assess renewal and downsizing of the hybrid bond
  • Increase the share of owned aircraft vs. leased aircraft
  • Keep the dividend policy unchanged

Top Copyright Photo: Finnair Airbus A330-302 OH-LTT (msn 1088) LHR (SPA). Image: 948136.

Finnair aircraft slide show:

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