Today, U.K.-based Virgin Atlantic released its 2018 results, which show the airline’s cargo arm increased volume by about 6% to 244,000 tonnes, compared to the previous year, while revenue grew 13% to £222 million, year-over-year.
The carrier’s volume growth percentage was above IATA’s market average of 3.5%. The carrier attributed its success to a 50% increase in pharmaceutical cargo, and growth in particular trade lanes, including its Australia-U.S. routes and its new London-to-Hong Kong service.
The parent company of the cargo carrier, Virgin Atlantic, is still struggling to pull itself out of a hole. Total earnings before interest and taxes (EBIT) for 2018 was £12.8 million as opposed to £32 million pounds in 2017.
Virgin Atlantic said that a weaker currency and increased fuel, aircraft financing and maintenance costs, “as well as costs at our overseas locations” were major challenges for the airline over the year.
It also reiterated its negative viewpoint on the upcoming Brexit, stating that “leaving the E.U. without a deal would damage the U.K. economy and should be avoided,” but added that its network will be “undisturbed” thanks to contingency planning.
The carrier is anticipating the arrival of its first four A350-1000s, as well as the launch of a new Tel Aviv cargo route in 2019.