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Aeroflot’s debt up 30%

Aeroflot Group publishes at its website its condensed consolidated interim financial statements for three months of 2020, in accordance with International Financial Reporting Standards.

According to the publication, corporate revenue decreased by 10.2% year-on-year to RUR 123,894 mio ($1,770 mio), while net loss totaled RUR 22,484 mio ($320 mio).

According to Andrey Chikhanchin, Aeroflot Deputy CEO for Commerce and Finance, “Positive trends from 2019 should have led to an improvement in profitability and financial results. However, the unprecedented impact of the coronavirus led to an almost complete shutdown of international flights, as well as a significant decrease in passenger traffic on domestic routes, which offset the positive dynamics of the beginning of the year and significantly worsened the financial result in March. The suspension of flights affected all airlines worldwide, and caused the most acute crisis in the industry for decades. Aviation is recognized as one of the most severely affected industries.”

In the first quarter of 2020, the number of Aeroflot’s international passengers decreased by 21.2% against the first quarter of 2019, while the number of domestic passengers dropped by 5%. As of 31 March 2020, total corporate debt increased by 30.1% compared to 31 December 2019.

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