SriLankan Airlines has sharply cut its net losses to Rs 202 million in the 2010/11 financial year from Rs 6 billion in the previous year and is on the road to profitability in two years, the airline said on Wednesday.
In a statement, Nishantha Wickremasinghe, Chairman of SriLankan Airlines, said: “SriLankan Airlines came out of the global recession by transforming itself and investing heavily - to secure the future of the National Carrier and in supporting the nation’s economic growth.”
He said the Cabinet has approved the investment of a sum of US$500 million for the development of SriLankan Airlines over the next five years.
Kapila Chandrasena, the Airline’s Chief Executive Officer, said: “The overall objectives in the year ahead will be to increase the quantum of revenue through high yielding business activities and bring SriLankan Airlines’ financial performance to a level of profitability. At the same time, the airline will serve as a leading partner to our nation’s economic growth.”
The airline carried 2.87 million passengers in 2010/11, an increase of 12% from the previous year’s 2.56 million.
The airline’s future strategy includes expansion of its global route network; increasing its aircraft fleet; building customer loyalty by enhancing the complete passenger experience; expansion of its domestic service SriLankan Air Taxi; enhancement of SriLankan Cargo’s global network and hub operation; development of SriLankan Ground Handling facilities at Bandaranaike International Airport (BIA); expansion of SriLankan Engineering’s aircraft maintenance facilities; increasing training facilities for external students; and expansion of catering operations for new and existing airline customers.