Rex Airlines’ domestic jet operations have swung into profitability for the month of September, the first time since resuming operations in February 2022.
For the first three months of this financial year, Rex’s domestic jet network passenger numbers grew by 60 per cent, 34 per cent and 77 per cent respectively when compared to June 2022.
Revenue growth has been even stronger at 84 per cent, 47 per cent, and 137 per cent for the same three months, suggesting significant yield improvements, according to Rex executive chairman, Lim Kim Hai.
“The Board gave guidance on 2 August 2022 that it expected FY 2023 to be profitable overall and the current results have further strengthened its conviction,” Kim Hai said.
“Encouragingly, October 2022 appears to be even stronger than September 2022, with passenger numbers on the jet network 16 per cent higher for the first half of the month when compared with the previous month while revenue increased 35 per cent on 13 per cent more flying.”
Rex’s domestic jet operations only properly started in the month of February this year, according to Kim Hai, because of the shutdowns in 2021 due to COVID.
“To turn in a profit so soon after the restart of operations is truly unprecedented in the airline world,” he said.
“This result was foreshadowed in our media release of 24 June 2022 when we predicted that the agreements with corporates and travel agencies, finalised at the tail end of the prior Financial Year (FY), would very quickly translate into strong passenger and revenue growth.
“In response to the strong demand, we are actively looking for another two Boeing 737-800NG aircraft to expand our domestic jet services.”
