Cargolux’s profits propped up by sale
Luxembourg-based all-cargo airline Cargolux posted net income of $89.4 million last year, a 7.1 percent increase compared to a restated $83.5 million in 2004, thanks largely to a $12 million capital gain from the sale of its interests in Champ Cargosystems S.A to SITA.
The airline’s consolidated revenue for 2005 was $1.45 billion, a 19 percent jump over the $1.22 billion achieved in 2004.
Cargolux carried 644,613 tons of freight in 2005, up 8.3 percent compared to 595,019 tons moved in 2004. Fuel costs increased 51.1 percent to $495.3 million.
“2005 has been a very difficult year and we operated in a very competitive environment,” said Ulrich Ogiermann, Cargolux’s president and chief executive officer. “The fuel price has increased by more than 50 percent to represent 37 percent of total costs, and has cast a huge shadow over the entire year. This could only be partly offset by fuel surcharges and explains the negative development of our operating expenses.”