Norse Atlantic Expects First Profitable Quarter in Q3
Norwegian low-cost carrier Norse Atlantic is optimistic about its financial performance in the third quarter. According to the company, this will be the first quarter where all 15 of its aircraft will generate revenue consistently over a three-month period.
Having launched in 2021 and commenced operations last summer, Norse Atlantic reported a narrower net loss of $35.1 million in the second quarter, compared to $36 million in the previous quarter. The company's revenue also showed significant improvement, increasing from $3 million to $100.1 million during this period.
Founder and Chief Executive Bjorn Tore Larsen highlighted the second quarter as a crucial period of expansion and growth for the airline. The introduction of new destinations in the U.S. and Europe contributed to a doubling of capacity, resulting in Norse Atlantic's first month of increased production and bottom-line profits in June.
The startup airline has faced some challenges due to the regulatory approval process and limited airport slot times. As a result, there have been short windows between ticket sales launches and actual flights, negatively impacting performance. However, as the company obtains the necessary approvals and increases the booking window, it anticipates a positive impact on ticket sales, as customers will have more time to make bookings.
Norse Atlantic's positive outlook for the upcoming quarter reflects its commitment to growth and improved financial sustainability.
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