November 30, 2012
The Monarch Group reports 2012 performance
The Monarch Group, a UK leading independent travel group, announced an update on its financial and operating performance for the financial year ending 31 October 2012. The Monarch Group, which comprises Monarch Airlines, the tour operating and holidays companies Cosmos Holidays, Avro and somewhere2stay, and Monarch Aircraft Engineering, increased its turnover net of intra-Group sales by 9.2% to £827.7m during the period. This was driven by strong year-on-year growth in airline passenger volumes and yields, increase in tour operating revenue and yields and a continued expansion of third-party engineering customers and revenue. The Group expects to report a substantial reduction in pre-exceptional operating losses on the prior year, and remains firmly on track with its turnaround plan to restore the Group to profitability by the end of financial year to 31 October 2013.
Monarch Airlines, flying principally to destinations around the Mediterranean, the Canary Islands and winter ski destinations, reported that during the period, the Airline achieved growth in total revenues by over 10% to some £670m (2011: £608.5m). Total capacity increased by 1.8% to 7.2m sector seats in the year to October 2012 and the Airline operated from five bases – London Gatwick, Manchester, Birmingham, East Midlands and London Luton airports. Monarch has announced the establishment of a sixth base at Leeds Bradford Airport (which serves some three million passengers per annum) from summer 2013 to further strengthen the Airline’s market position in the North of England.
Monarch Aircraft Engineering (MAEL) provides important aircraft maintenance services from its principal bases at London Gatwick, London Luton and Manchester to the Monarch Airlines fleet, and continues to attract new blue-chip third-party customers globally. Revenues during the period increased by 5% to £82m (2011: £75m), of which 29% was derived from third-party customers, up from 19% two years ago. Third-party engineering customers include amongst others easyJet, Alitalia, Thomson Airways, Wizz, Cyprus Airways, DHL, Air Arabia, Emirates, and LOT Polish Airlines.