Garuda Signs the Purchase of 25 ATR-72 600 Aircrafts

JAKARTA (Yosefardi) – Flag carrier Garuda Indonesia (GIAA) has signed sale and purchase contract for 25 ATR-72 600 early this week, with delivery scheduled to start next quarter.
Garuda signed the contract with Avions de Transport Regional G.I.E, Aircraft Lease Agreement, and Aircraft Lease Term and Commitment Letter with Nordic Aviation Capital.
Garuda booked net loss of US$10.92 million in the first half ended June 30, 2012, flipped from net profit of US$1.87 million in the corresponding period of 2012.
Garuda Indonesia’s revenue actually improved 14% to US$1.7 billion, but operating expenses also surged from US$1.49 billion to US$1.7 billion, mainly due to higher cost of flight operations, ticketing, sales & promotion, passenger services, user charges & station, and general & administrative expenses.
Garuda Indonesia then posted operating profit of US$14.3 million, down slightly from US$14.4 million in the first half of 2012.
Higher finance costs and lower finance income led to US$2.6 million pre-tax loss against US$12.76 million pre-tax profit in the first half of 2012.
Garuda Indonesia had total assets and equity of US$2.79 billion and US$1.1 billion respectively as at June 30, 2013.