State-run SriLankan Airlines had lost 58 billion rupees in the 10 months to February 2021 as a Coronavirus crisis hit a carrier that lost 47.1 billion rupees in the previous year, official data shows.
SriLankan earned revenues of 44.1 billion rupees up to February 2021, down from 180.1 billion rupees in the year to March 2021.
However, expenses were 102.8 billion rupees, down from 230.3 billion rupees a year earlier.
SriLankan, along with Qatar kept the country connected in the worst months of the Coronavirus crisis when airports shut down and airlines were grounded in many countries.
However, SriLankan also made losses of 17 billion in the year to March 2018, 44 billion rupees in the year to March 2019, and 47 billion rupees in the year to March 2020.
The firm had lost money and was tuning to state support ever since its management was taken back from Emirates Airlines.
The current management had taken some steps to cut costs. In the year to March 2020 lease rentals were cut to 19.4 billion rupees from 29 billion a year earlier. In the 10 months to February, lease rentals were 21.7 billion rupees, amid currency depreciation. Its fleet was reduced to 24 from 27 in 2018.
“SLA was granted government support in the form of equity infusions and treasury guarantees in order for it to receive funding from the outside financial market,” the Finance Ministry said.
“As a result, SLA will receive USD 500 million as equity infusion from the national budget over the next five years.”
Sri Lankan’s accumulated losses were 374 billion rupees up to February 2021, up from 326 billion rupees a year earlier.