BAWC records solid Q1 performance
British Airways World Cargo (BAWC) has witnessed an impressive 4.1% increase in cargo tonne kilometres in the first quarter in comparison to the same period in 2007. Despite a 51.2% increase in the quarter-on-quarter fuel bill, commercial revenues (flown revenue plus surcharges) rose by 22%.
“These are an encouraging set of results,” said Steve Gunning, managing director of BAWC. “However, with both the price of fuel continuing to be high and consumer demand on the high street uncertain, there are difficult times ahead for carriers.”
“Generating a 4% growth in volumes, in spite of difficult market conditions, is a pleasing achievement for the business,” said Sean Doyle, financial controller, BAWC. “Volume growth aside, the increase in revenue also reflects significantly higher levels of fuel surcharge revenues which only partially offset the impact of unprecedented oil prices on BA’s operating profits.”
In addition to Doyle’s comments, BAWC also announced that it was reducing its fuel surcharge.
"High fuel prices remain a very real challenge for the industry,” announced Adam Carson, BAWC’s senior manager, revenue management. “However, recent weeks have seen some relief with prices falling, triggering a decrease in our fuel surcharge in line with the index.”