According to unaudited results, Czech Airlines reported a profit before tax of CZK 500 millions. As per international accounting standards (IFRS), CSA achieved an unaudited consolidated profit before taxation of USD 550 000 in 2008. The 2008 results were influenced by the record prices of oil in the first half of 2008. Thanks to fuel hedging, in combination with exchange rate hedging, the impact of the price of fuel on CSA finances was only CZK –400 million compared to plan. In the second half of the year, the aviation business was hit by the global financial crisis, in the form of a reduction in passenger demand, which meant a revenue outage of -400 million crowns for CSA. In spite of a significant drop in income in the last quarter, operating revenue was successfully maintained at last year’s level of 23,241 billion crowns. Operating expenses were successfully reduced by another 363 million compared to last year, to 23.192 billion crowns, in spite of the fact that the company’s expenses on financial leasing payments grew year on year. CSA continues its cost-cutting steps this year, as well, focusing primarily on the Technical Division.
