Virgin Atlantic’s 2022 revenue recovered to 98% of 2019 earnings, but it still suffered a loss of £206 million (R4,92 billion) before tax and exceptional items.
During 2022, Virgin capitalised on the recovery in demand for air travel holidays and continuing demand for air freight. The year was also the first of its four-year plan to become the most loved travel company and be sustainably profitable.
The annual financial results for 2022 show the airline earned a total revenue of £2,9 billion (R69,33bn), recovering to 98% of its 2019 revenues, and an underlying EBITDA of £310 million (R7,41bn). Its underlying EBIT of £71m (R169m) returned to its pre-pandemic level of performance.
CEO Shai Weiss said: “Failings at Heathrow and complexities of ramp-up pushed our operation to its limits but despite these challenges, I’m proud to say we came through the summer with industry-leading completion factors of 99,5%, getting customers to where they needed to be with fewer cancellations and delays than competitors.”
In 2023 the airline expects its underlying EBITDA to increase to record level, however due to a weak pound, high inflation, fuel prices and rising interest rates, a return to profitability is only expected in 2024.
