Croatia Airlines makes first profit in five years

Photo Croatia-Airlines-Logo.png
National carrier Croatia Airlines (CA) earned a net profit of HRK 669,400 in 2013, its first positive business result in five years, according to the company's financial report published via the Zagreb Stock Exchange on Friday.

CA's total revenues were HRK 1.64 billion, down 7.5% from 2012, while expenditures fell 27.5%. A high degree of seasonality of demand on the Croatian aviation market was cited as a major problem.

In winter, when CA's share of the Croatian market reaches 66%, the company generates losses, while in summer, when its market share ranges from 23% to 36%, it makes profits. That's why it is necessary to minimise operating costs in winter by optimising the flight network, the report said.