JAL Group has announced its consolidated financial results for 2014. It reported that consolidated operating revenue was increased year-on-year by 2.7% to ¥1,344.7bn. It also recorded operating income of ¥179.6bn, an increase of 7.7% year-on-year. Accordingly JAL Groups operating margin stood at 13.36%.
The group result was assisted by a reasonable contribution from cargo operations, which make up 0.71% and achieved overall growth of 4.9% year-on-year.
In international cargo operations, JAL Group captured volumes from automobile shipments from Japan spurred by the growth in exports, especially to North America, and efficiently captured transit shipments to maximize revenue. The company also improved its system at Haneda Airport in Japan, where flight frequency has increased, expanded connection services between domestic and international flights, and transported shipments on other airlines’ aircraft under airline charter agreements on minimizing risks. As a result, the volume of international cargo handled during 2014 increased by 16.0% year-on-year in RCTK terms, and revenue increased by 11.2% to ¥60.3bn.
The volume of international mail handled by JAL Group during the reporting period in terms of RMTK increased by 6.1% year-on-year, and international mail revenue increased by 14.9% year-on-year to ¥10.3bn.
The company stated that its domestic cargo operations were affected by a modal shift from surface transportation to air transportation due to a shortage of trucks. However due to the decrease in supply, the volume of domestic cargo handled during the reporting period when measured in RCTK decreased by 2.8% year-on-year, and revenue decreased by 4.5% year-on-year to ¥24.2bn.
