Japan Airlines is on target for a net profit of 130 billion yen for the year after announcing that it had doubled its earnings for the quarter ending in June. The airline said the profits were the result of an extensive cost cutting operation. An increase in demand for international travel is also the result of a strong yen.
In 2010 Japan Airlines was forced into bankruptcy and had to request a government backed bailout. It exited bankruptcy in March this year and analysts believe that the carrier will soon apply to be listed again on the Tokyo Stock Exchange.
Earlier in the year the carrier said it had placed an order with Boeing for 10 of its 787 Dreamliners. According to the planemaker, the aircraft is around 20 per cent more efficient than other passenger jets of a similar size.
Japan Airlines has already launched the Dreamliner on a new route from Tokyo to Boston. The airline said it was also using the 787 in a number of existing international routes so that it can match capacity to demand and improve the appeal of the JAL product.
As well as an increase in the demand for overseas travel, the airline said that domestic services had also seen an improvement following the devastation caused by last year’s tsunami and earthquake.