Aeroflot (Moscow Exchange ticker: AFLT) announced its financial statement for the first six months of 2014 (ended June 30th 2014) made in accordance with Russian Accounting Standards (RAS). RAS results are presented on an unconsolidated basis for Aeroflot only, the company’s press-service reports.
“The revenues of Aeroflot for the first half of 2014 amounted to 105,676 million rubles (+14.8% as against 92,014 million rubles in the first half of 2013). The revenues increased mostly due to a significant passenger traffic growth during the accounting period. Cost of sales for the first half of 2014 was 92,386 million rubles (+17.7%). This increase is caused by passenger traffic growth as well as higher costs connected with servicing the carrier’s expanded fleet (23 aircraft have joined the airline’s fleet as compared to the end of the first half of 2013) and changes in foreign currency exchange rates”, - Aeroflot noted.
Moreover, selling expenses for the first six months of 2014 reached 14,420 million rubles. The costs grew due to higher booking costs caused by greater traffic volumes, increased advertising costs and changes in the currency exchange rates.
Cost of sales and selling expenses grew faster than revenues in the first half of 2014 due to the seasonality of passenger traffic and fixed costs related to maintenance of the airline’s fleet and ground equipment. This trend is traditional for the carrier and it caused by the airline’s preparation for the summer season. The net profit of Aeroflot was 3,391 million rubles in the first half of 2014 (-36.2% as compared to the first half of 2013), the company added.
“As of June 30th 2014 the total assets of Aeroflot reached 131,414 million rubles (+20.7% as against December 31st 2013). Aeroflot’s long-term liabilities amounted to 14,420 million rubles (-0.7% as compared to December 31st 2013). Long-term debt as of June 30th 2014 stood at 5,283 million rubles (-6.8% as against December 31st 2013). Aeroflot’s short-term debt totaled 912 million rubles as of June 30th 2014 (+2.1% as compared to the end of 2013)”, - Aeroflot explained.