BRITISH Airways’
strategy to target higher-paying business class passengers has paid off with a
leap in pre-tax profits of £125 million.
Latest figures
show third quarter pre-tax profits were £65 million for the three months to
December 31 2000 compared to a pre-tax loss of £60 million for the same period
in 1999 – a hike of £125 million.
Pre-tax profits
for the nine months to December 31 were £215 million, up on last year’s £80
million, and operating profits were £441 million, up 111% on the previous year.
Passenger yield showed an 8.3% year-on-year increase.
The reversal of
fortunes reflects the airline’s reduction of unprofitable seats, cost-cutting,
shift to newer smaller aircraft, more frequent flights and higher-paying
passengers.
BA chief executive
Rod Eddington said: ”These numbers are encouraging. They show we can continue
to improve profitability by focusing on our core activies and the right
network.”