Norwegian has reported a web lack of NOK5.three billion (£450 million) for the primary half of economic 2020.
With the Covid-19 pandemic taking an enormous toll on the airline, passenger numbers fell 71 per cent to five.three million in the course of the first six months of the 12 months.
Whereas the low-cost service has efficiently transformed debt, gained entry to state assured loans of NOK3 billion and performed a public providing, Norwegian warned it won’t be sufficient.
“Once we entered 2020, we have been anticipating a optimistic outcome and one of the best summer time ever, due to profitable cost-saving initiatives and a extra environment friendly operation,” mentioned Norwegian chief government, Jacob Schram
“Then we have been hit by Covid-19 and buyer demand actually stopped from someday to the subsequent, as government-imposed journey restrictions and journey recommendation have been launched world-wide.
“For the previous months we’ve been working tirelessly to make it possible for we will emerge from this disaster as a stronger firm, well-positioned for future competitors.
“A few of these measures have been painful, however completely obligatory if we’re to make it by means of in any respect.
“Collectors, bondholders and shareholders have proven us assist and belief to discover a manner ahead for the corporate and our prospects are expressing their robust assist, for which I’m grateful.”
Authorities journey recommendation within the wake of Covid-19 and the next drop in buyer demand compelled Norwegian to floor 140 plane and furlough or lay off roughly 8,000 staff.
Within the second quarter, the airline solely operated as much as eight plane on home routes in Norway.
In Norwegian reopened 76 routes, put an extra 15 plane into service and introduced greater than 600 staff again to work.
Nonetheless, the airline mentioned the market remains to be extremely unsure, primarily attributable to altering journey recommendation from governments throughout Europe.
“The COVID-19 disaster has impacted aviation and the journey business notably onerous, and most firms want authorities assist to outlive.
“We see that a lot of our important rivals obtain appreciable liquidity assist from their governments as aviation represents the spine of infrastructure,” added Schram mentioned.