Air New Zealand
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Air New Zealand (AIR) investor relations material

Air New Zealand H1 2026 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Logotype for Air New Zealand Limited
H1 2026 earnings summary25 Feb, 2026

Executive summary

  • Reported a net loss after tax of NZD 40 million and a loss before tax of NZD 59 million for the half, reflecting ongoing operational and cost challenges, including fleet constraints and slower domestic demand recovery.

  • Passenger revenue grew 3.6% year-over-year to NZD 3.0 billion, but flat network growth and inflationary pressures hurt profitability.

  • Up to eight aircraft were grounded at times due to global engine maintenance disruptions, constraining capacity to about 90% of pre-COVID levels and resulting in NZD 90 million net earnings impact after NZD 55 million compensation.

  • No interim dividend declared, consistent with capital management policy and focus on balance sheet resilience.

Financial highlights

  • Operating revenue rose 1.2% year-over-year to NZD 3.4 billion, but operating cash flow fell 50% to NZD 213 million.

  • Non-fuel cost inflation reached NZD 75 million (3.5%) in the half, mainly from mandated levies, engineering, and landing charges.

  • Reported CASK increased 7.7% (5.7% underlying), with inefficiencies from fleet constraints and supplier cost inflation.

  • Liquidity at period end was NZD 1.3 billion, within target range; net debt-to-EBITDA at 2.6x, slightly above target.

Outlook and guidance

  • Second-half earnings expected to be in line with or modestly below the first half, subject to uncertainties in engine return, compensation, and input costs.

  • Full-year non-fuel cost inflation forecast at NZD 150–175 million, with significant maintenance headwinds.

  • Capacity growth of 3–4% planned for the second half, conditional on improved engine reliability and new aircraft deliveries.

  • Compensation for engine issues in the second half remains under negotiation and could materially impact results.

Engine issue earnings impact and H2 comp outlook
Strategy review: cost transformation initiatives
Domestic demand recovery outlook and actions
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H2 202626 Aug, 2026
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Frequently asked questions

Air New Zealand Limited is the national airline of New Zealand, providing passenger and cargo air transport services both domestically and internationally. The airline operates flights across Oceania, Asia, the Americas, and Europe, with a focus on routes connecting New Zealand to major global destinations. In addition to passenger services, Air New Zealand offers cargo transportation, loyalty programs, and travel-related services to enhance the travel experience. The company emphasizes a commitment to customer service, sustainability, and New Zealand tourism. Air New Zealand Limited is headquartered in Auckland, New Zealand, and its shares are listed on the New Zealand Stock Exchange.

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