Brussels Airlines' loadfactor

[Inquirer]

SN did not release figures for February!

I don't know where they got it from, but Wikipedia seems to know the figures for February:

373,776 pax (+4.3%)

http://nl.wikipedia.org/wiki/Brussels_Airlines

[sn26567]

I don't know where they got it from, but Wikipedia seems to know the figures for February:

373,776 pax (+4.3%)

There must be a way of calculating that figure for Feb: take the total figure for Jan-Jun and substract Jan, Mar, Apr, May and Jun....

[JOVAN]

Seems to show SN's strategy is 'working'. Reduce total capacity, mainly on 'seasonal' routes and routes that have to important task in the hub strategy. While focussing on long haul and EU flights that are important for feeding and/or business trafic. So in total you have a reduced capacity but more pax and thanks to that a much higher loadfactor.

LF went up 8,9% but it still just at 63,1% which is not high at all (for SN it's not bad tough, they always had a quite low LF).

Indeed the only way to go for SN should be more long haul.

A few more destinations in USA (Boston, San Franscisco) and Canada (Montreal); strenghten position in Africa (Lubumbashi, Johannesburg). That will help to fill the planes.

And indeed, everything under 75% is below level.

[RoMax]

Indeed the only way to go for SN should be more long haul.

A few more destinations in USA (Boston, San Franscisco) and Canada (Montreal); strenghten position in Africa (Lubumbashi, Johannesburg). That will help to fill the planes.

And that seems to be the plan for the near future. From what I heard (of course nothing official, but many people working for SN seem to have the same "information") SN will start 1-2 new destination(s) in North-America in 2013 and normally more expansion in Africa.

Lubumbashi and Johannesburg by SN itself, are difficult . I suppose SN will not be granted traffic rights for FBM without giving in on the FIH flights? And it's not needed anymore with Korongo Airlines (which makes it possible to reach FBM with only 1 stop out of BRU, as most FIH flights are non-stop now) and Korongo's operational numbers seem to prove that the direct connections are a huge succes, becoming more popular 'every day'. Johannesburg-Brussels is quite low-yield, and I don't think it's worth to invest in it, at least not before they invested in more expansion in North-America, Central-, East- and West-Africa.

Also in Europe their strategy is clear. This summer already some leisure destinations dissapeared and freqs were cut on several routes, more routes will dissapear in the winter season and freqs cut on the remaining leisure destinations. Instead they focus more on the important feeding and business routes with more A319's instead of Avro's. And for the thin routes the Q400's are perfect (tough it's wet-lease, but at this stage that's still cheaper as operating an own fleet).

Combined with heavy investments in the aircraft interiors, fleet renewal and improving service (at least on long haul), that should show in the amount (and type) of pax using SN.
Biggest challenges are probably the high fuel and staff costs (and a lot of costs that are too high that I forget to mention). The current strategy and offer is not wrong (could be (much) better of course), but the cost structure is still too high to be profitable...

Edit: De Tijd seems to have published an article about another problem of SN, a problem of the past years. The serious underinvestment of the past years is a part of the problem of SN now. But I can't read the article as you have to be an abonee (maybe someone who can copy the text? )
http://www.tijd.be/opinie/analyse/Jarenlange_onderinvestering_bracht_Brussels_Airlines_in_zware_turbulentie.9178836-2336.art

[Boeing767copilot]

july figures:

pax: 578.396 pax (+1,7%)
LF: 68,4% (+1,7pp)

LF NY flights: 86,9%

Details: viewtopic.php?f=31&t=48106

[DannyVDB]

Hi all,

As I said in a reaction on the official press release (see viewtopic.php?f=31&t=48106) it seems that there is an error in the LF figures.

Last year, July 2011 SN had a load factor of 78,8% (instead of 66,7%). I checked that with the RSK/AVSK (Revenue seat-kilometres (in millions)/Available seat-kilometers (in millions)). In fact the right figure has been communicated correctly by SN themselves last year. So I assume that the figure communicated in the press release of SN of this year is not correct.

The figure of July 2012 is not correct either: I calculate 78,7% (and not 68,4%) which seems more in line with expectations (More African flights + JFK flight influence the figure upward, while there seems to be decrease in the LF for the European flights).

So there is a small decrease July 2011-2012 of -0,1%.

Maybe someone of SN who is on this forum can cross-check?

Regards,
Danny

[convair]

Isn't it sad SN is not able to issue correct figures for such a simple press release?

[sn26567]

Isn't it sad SN is not able to issue correct figures for such a simple press release?

SN issued correct figures. See the explanation here: viewtopic.php?f=31&t=48106&p=268382#p268382

[RoMax]

Nice to see that they took the effort to explain this whole matter. And nice that they'll publish both 'types' of loadfactor as from the next press release. I don't believe there are many other airlines that do the same.

[convair]

@ sn26567

Yes, OK, but they have been giving figures computed differently in the past and it took your intervention for them to explain why this month's figures were not matching! Poor communication by Mr Sciot, imho.

[DannyVDB]

Hi all,

It is clear now, but if you just communicate some figures you have to do it in a consistent way and stick to it or change and explain it.

But I have no problems with it as they explain now they will deliver both figures. Transparency is very important.

In conclusion, if you want to compare with previous figures communicated (previous months and years) you have to stick to the old method ...

Anyway thank you André for helping to clarify this. Thanks also to SN for replying

Another question emerges: if another airline communicates its load factor in press releases it usually is the old way of calculating, no?

At the end you want (eventually) to compare airlines.

Regards,
Danny

[RoMax]

The results of September (and as promised by SN, the two different kind of loadfactor-numbers):
http://brusselsairlines.prezly.com/brussels-airlines-continues-to-grow-on-long-haul-decline-in-european-passenger-numbers

- Pax: 560 693 (-3,8%)
- Available seat-kilometers (in millions): 1255,12 (+9,7%)
- Revenue seat-kilometers (in millions): 914,56 (9,9%)
- Cargo ton-kilometers: 13959 (+49,2%) (this is the first time I see this number from SN)
- Overall loadfactor (Pax + cargo): 66,4% (+2,6)
- Seat loadfactor (pax only): 72,9% (+0,1)

JFK operated in September with a Seat loadfactor of 88,8%. Pax on the African network increased 11,9%. Europe is a known story: decreased capacity, decreased pax numbers.

[convair]

Encouraging figures. Specially on the JFK flights that even have a slightly higher LF than in July (I didn't see figures for August). Looks like SN's strategy of reducing offer on Europe is working. Still a long way to go though!

[RoMax]

SN's November results seem to be quite ok.
Total amount of passengers decreased, but only with 0.2%. In Europe there was a decrease of 3.5% (as a result of the decrease in capacity to Poland and Southern-Europe), Africa saw an increase of 2.6% (I believe there was a decrease in capacity to AFI this winter) and New York showed "satisfying results". Cargo did very well and loadfactors increased:

Passengers: 414,935 (-0.2%)
Available seat-kilometres: 1036.49 (+6.7%)
Revenue seat-kilometres: 665,06 (+8.0%)
Freight ton-kilometres: 13763 (+33.7%)
Overall loadfactor (pax + cargo): 60,9% (+3.8 pct. points)
Seat loadfactor (pax): 64,2% (+0.7 pct. points)

http://company.brusselsairlines.com/en_be/corp/news/press-releases/Default.aspx

[airazurxtror]

Are they really happy with a load factor (passengers) of 64,2% ?

[RoMax]

Are they really happy with a load factor (passengers) of 64,2% ?

I assume not, but it must be historically high for SN in the month November. Rome wasn't build in one day either... If you know where the come from, some years ago they even had difficulties to achieve such a loadfactor in summer months. But of course they still have a huge task to fulfill, I don't think anyone denies that.

[RoMax]

Brussels Airlines ended 2012 with 5 748 251 passengers, that's 59 353 (or 1%) more as in 2011.

On the European network SN welcomed 2% less passengers, while Africa saw an increase of 10,1%. New York started succesfull with an overall loadfactor for June-December of 80%.
ASK (available seat-kilometres) rose with 5,1% and Revenue seat-kilometres rose with 8,6%. As a result the overall loadfactor rose with 2.2 percent-points to 68,7% (must be a record for SN on year basis, still low tough). The freight ton-kilometres increased with 25%.

December ended with 0,8% less passengers compared to 2011, but due to reduced capacity the loadfactor rose with 1,1 to 66,8%.

The financial loss is expected to be close to the 80 million loss of 2011.

[RoMax]

The freight ton-kilometres increased with 25%.

Nice numbers already, but the amount of tons they transported in 2012 increased even more spectacular, up with 40,4% to 39 728.

http://www.delloyd.be/Article/tabid/231/ArticleID/32515/ArticleName/BrusselsAirlinesverbeterttonnagespectaculairin2012/Access/Anonymous/Default.aspx

I can't read the whole article, but the first part of the article already says that 2/3 of that growth was realised thanks to the new JFK route. So despite the heavy competition on the NYC cargo market, they seem to get at least some tons of cargo on these flights.