Norse Atlantic reports strong Q2 growth with strategic shifts ahead

Norse Atlantic Airways reported significant growth in Q2 2024, with a 65% increase in revenue to $164.8 million and a 99% rise in passenger numbers, reaching 406,306. The airline’s load factor improved by seven percentage points to 82%, though revenue per passenger decreased by 11% from USD 380 per passenger compared to USD 425 in Q2 2023, in line with lower industry-wide fares.

Operational performance remained strong, with 99.5% of planned flights completed and an 89% increase in the number of flights. The airline reduced its unit costs by 35%, aided by the addition of two Boeing 787-9s to its fleet of 10 aircraft, boosting economies of scale.

Looking forward, Norse Atlantic plans to revise its business strategy, focusing on securing long-term charters and ACMI contracts, and further reducing costs. The Company has agreed with one of its lessors to streamline the fleet by redelivering three Boeing 787-8 aircraft in 2024. Norse will thus have a uniform and cost-efficient fleet of 787-9 aircraft only

The company will join the Global Distribution System (GDS) in 2024 to expand its reach in global markets and is negotiating multi-year contracts to stabilise revenue and mitigate market risks.

CEO Bjorn Tore Larsen highlighted the airline’s commitment to profitability and operational efficiency as it navigates these strategic shifts.