SYDNEY, Nov. 2 (Xinhua) -- Australia's second largest carrier has posted a loss for the first quarter of the 2017 financial period due to a subdued demand derived from the domestic market.
Virgin Australia in a statement on Wednesday said that the airline had recorded a net loss of 34.6 million Australian dollars (26.45 million U.S. dollars) for the three months to September 30, which was a decline from the 1.7 million Australian dollars (1.3 million U.S. dollars) net profit it recorded in the previous corresponding period.
The Brisbane-based carrier had also booked an underlying pre-tax loss of 3.6 million Australian (2.75 million U.S. dollars) for the quarter down from the 8.5 million Australian dollars (6.5 million U.S. dollars) profit it made the year before.
The airline said its restructuring program which was unveiled in June was already on track in generating savings for the 2017 financial year as it expects to deliver a net free cash flow savings increasing to 300 million Australian dollars (229 million U.S. dollars) per annum by the end of the 2019 financial year.
"The group continues to drive structural change in its cost base through ongoing cost-saving activities and new efficiency initiatives under the better business program," the airline said in a statement.
"This includes the fleet simplification programme and organisational rightsizing."
In August, the airline posted a 225 million Australian dollars (171.76 million U.S. dollars) full-year loss, but has vowed to come back in the black in the upcoming 2017 financial year.
