KeroseneSnorter
Robust Member
- Joined
- Oct 26, 2003
- Posts
- 1,530
B747-300 said:Revenue doesn't mean much if your expenses are greater than what you take in.
This is what you should be focusing on:
"The reallocation of capacity out of Scheduled Service and into ACMI operations had a beneficial impact on direct operating expenses during the quarter, including ground handling, landing and overfly fees. Total fuel consumption declined by approximately 13%, reflecting a roughly 13% reduction in non-ACMI block hours. The reduction in consumption was more than offset by a 44% increase in average fuel prices. The net impact was a 25% increase in fuel expense."
"We expect to continue to optimize capacity allocations among our service types."
WAKE UP!!
Just got done jogging here so these numbers are VERY rough figures done while trying to not drip sweat on the keyboad!!
Taking the quarter revenue numbers and looking at A/C numbers using only the ACMI and Scheduled data, leaving out Military and charter.
Polar 12 airplanes brought in roughly 9.75 million per airplane for the quarter.
Atlas's 30 birds brought it roughly 2.1 million per airplane for the same time.
Leaving out the difference in crew costs and total crew numbers (Hourly, and diff in total pilots on the list that makes Atlas costs higher) that leaves us with a difference of 7.65 million that each Polar bird made more than a corresponding Atlas bird. Now either that fuel is costing Polar 7+ million a quarter PER AIRPLANE, or AAWWH is playing with the numbers to show Polars "loss".
Given that there are 2184 hours per quarter and at an average fuel burn of 3500 Gal an hour that would mean that the Polar birds flew 1092 hours per airplane at 2 bucks a gallon to burn up the 7.65 mil difference. That means 12 hours a day, EVERY day for the entire quarter. Given that this is very unlikely due to maint. and other factors. Especially since we are not factoring in Military and Charter flights that Polar does. Also fuel last year was only around 1.80 to 1.90 a gallon, this year they have been adding fuel surcharges to the freight.
So where did all that money go? I would say a good portion went to mgmt. and funneled into the Atlas "profits"
Like I said very rough, but if you continue the process it will probably hold constant no matter how detailed you get.
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