Air New Zealand Logs Biggest Annual Loss Since 2023 as Fuel, Engine Costs Bite
Fuel and maintenance costs lifted expenses as Air New Zealand said it could not yet provide earnings guidance for 2027.
- On Friday, August 28, 2026, Prime Minister Christopher Luxon criticized Air New Zealand's "pretty poor performance" after the carrier reported a $242 million annual loss, its largest in three years.
- Soaring jet fuel prices linked to the Middle East conflict and persistent engine availability issues drove the poor result, with maintenance costs pushing expenses up by $144 million this year.
- While revenue rose to $7 billion, a $336 million pre-tax loss occurred as engine disruptions cost an estimated $190 million and higher fuel prices added $205 million to expenses.
- The board declared no final dividend and appointed new directors, including former Air India CEO Campbell Wilson and Contact Energy chair Rob McDonald, to strengthen performance.
- CEO Nikhil Ravishankar stated the airline expects fiscal 2027 to be a year of transition and recovery, with a focus on executing strategic priorities to improve financial performance.
13 Articles
13 Articles
PM scolds Air New Zealand over 'very poor' financial results
Prime Minister Christopher Luxon has given Air New Zealand a public dressing down, criticizing the airline’s “pretty poor performance” over the last financial year. On August 28, 2026, Prime Minister Luxon, himself a former Air New Zealand CEO, stressed that the carrier needs to get its act together “very quickly”, according to The New Zealand Herald. Earlier in the day, Air New Zealand posted a net loss after taxation of around $144 million (NZ…
Air New Zealand logs biggest annual loss since 2023 as fuel, engine costs bite
Aug 28 (Reuters) - Air New Zealand posted its biggest annual loss in three years on Friday as higher fuel prices linked to the Middle East conflict, persistent engine availability constraints and rising costs squeezed earnings. Jet fuel costs, which ...
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