Stordalen’s airline lost almost 200 million – E24

The box was almost empty.

The airline Sunclass Airlines lost 124 million Danish kroner before tax, the latest annual accounts show.

The amount corresponds to NOK 193 million, at today’s exchange rate.

This is a deterioration from a loss before tax of DKK 14 million in the previous period.

The company’s financial year runs from October to September.

The management does not consider the result to be satisfactory, the annual report states.

Sunclass has lost money every year since Stordalen took over as owner, based on profit before tax.

The Danish newspaper Børsen mentioned the case first.

Collected money in several rounds

At the end of September last year, equity was negative with 574 million Danish kroner. The amount corresponds to NOK 893 million, at today’s exchange rate.

The coffers were almost completely scrapped, as the company had 12 million Danish kroner left in cash and the like.

However, the owners came to the rescue and injected NOK 230 million in December last year. They have confirmed that they will support the company to the extent necessary in the current year, it says. This is in addition to the owners spitting in over NOK 300 million during the financial year.

Sunclass has also been in dialogue with lenders and, as part of a refinancing, has extended loan agreements with DNB and The growth fund The growth funda Danish state fund that contributes with the financing of businesses until 2026.

Operating profit fell from 38 million to minus 73 million Danish kroner. It was mainly the first nine months of the financial year that weighed on the result, according to the company.

Blame it on inflation and the krone

At the same time, revenues rose to 3.9 from 2.7 billion Danish kroner.

Sunclass Airlines flies charter passengers to and from popular holiday destinations and sells merchandise on board. Most of the company’s income consists of charter income from the group’s tour operators who sell package tours.

During the year, the company flew 1.9 million one-way passengers to and from Norway, Sweden, Denmark and Finland. The fleet consists of 12 aircraft, one of which is owned by the company, while the rest are leased.

In 2019, Petter Stordalen picked up Ving and Sunclass Airlines together with two acquisition funds after the Thomas Cook bankruptcy.

The company writes in the annual report that the year has been affected by the global economic situation, with high energy prices, increased inflation and a weak Norwegian and Swedish krone. It is also highlighted that the aviation industry has had a slow catch-up after the pandemic, with delayed deliveries of new aircraft and spare parts.

“Scaling up the business gave the company operational challenges, which many other airlines in Europe have also experienced. Recruitment and training of employees required more effort than expected,” writes the company.