VBA 0.00% 35.5¢ virgin blue holdings limited

tiger losses totalling more than $74m, page-2

  1. 221 Posts.
    Tiger Airways (TAHL.SI) as a company would appear to be needing to make some tough decisions.

    For FY11, to March 31:

    Tiger Singapore used 14 planes to make EBIT of S$53.8m
    Tiger Australia used 10 planes to lose EBIT of S$9m

    Clearly they are proving more successful in Singapore than they are in Australia. I struggle to see this changing anytime soon. They have already decided not to add any capacity to Aust in FY2012, but will instead add 40% more capacity in Singapore.

    They currently have a variety of plans to expand into The Philippines, Thailand and Indonesia, but for a variety of reasons these have not proved as successful as originally planned.

    IMO, at some point they might decide that the Aust market is just too hard. Having the 10 Aust planes available for Asian routes must be a strong option, particularly with AirAsia and Jetstar upping the competitive game in Singapore.
 
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