Air New Zealand posts $242 million loss as fuel and engine costs soar
Air New Zealand has reported a $242 million net loss and flagged potential further capacity cuts if fuel prices remain elevated.
Air New Zealand posted a $242 million net loss for the year ended 30 June, citing fuel and engine costs alongside a $205 million hit from Middle East conflict disruptions. The airline has announced plans to deliver $135 million in savings and cost reductions. Management warned that domestic services could face fuel-related capacity reductions in the first half of 2027, with long-haul operations seeing aircraft substitutions for improved fuel efficiency. The result has drawn criticism from Prime Minister Christopher Luxon, the airline's former chief executive.
Covered byNZ HeraldNewstalk ZBOtago Daily TimesBusinessDeskNot covered byRNZStuff1NewsNewsroomThe Spinoffinterest.co.nz
Coverage across the news outlets we track, as at publication.
What outlets are saying
NZ Herald
Air New Zealand result: How bad will it be?
The loss that sparked a coalition flare-up will likely be minor compared to what's coming.
BusinessDesk
Air New Zealand loss: Middle East conflict caused $205m hit to result
Air New Zealand has posted a $242 million net loss after tax and annou nced plans to deliver $135m in sa vings and cost reductions. The airline reported its full-year result for the year ended June 30 on Friday morning.
NZ Herald
Luxon blasts Air NZ for ‘very poor result’, says airline’s $242m loss bad even despite global aviation dramas
Former boss Christoper Luxon says the result is bad even in context of worldwide problems.
Newstalk ZB
Luxon blasts Air NZ for ‘very poor result’, says airline’s $242m loss bad even despite global aviation dramas
Former Air NZ chief executive and current Prime Minister Christopher Luxon has blasted the airline, saying it needs to get its act together “very quickly”.
BusinessDesk
Air NZ warns more capacity cuts may be needed as fuel crisis drags on
Air New Zealand says it may need to make further capacity cuts if elevated jet fuel prices persist, with management warning it could use the “capacity lever quite seriously” should fuel costs rise. Speaking to analysts following the airline’s annual…