Estonian Air Crawls Back to Profit
- New Europe Investor
- August 28, 2015
Estonia’s national carrier, Estonian Air has shown signs of profit for the first time since 2010.
The small airline earned a profit of €400,000 for the months of June and July. Whilst modest, its a success for the airline that was in the midst of bankruptcy only a couple of years ago, surviving on bailouts from the Estonian government.
The European Commission has yet to rule if the money given to keep the airline afloat was legal, following complaints from other airlines in the region.
2014 accounts show the company lost €10 million from revenues of less than only €70 million.
However, Estonian Air is still struggling, and even its board admit it will finish the calender year in the red. They add tentatively that they expect to return to profit in 2016.
The airline has flown subcontracted routes this summer, which is said to be behind the return to profitability.