How do Airlines make a profit - Transatlantic???
  • michael747
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    How do Airlines make a profit - Transatlantic???

    by michael747 » Sun Oct 07, 2007 5:05 am


    I was really bored in work tonight and i just got thinking
    ''How do airlines really make their money''?

    I checked for the cheapest flight from Dublin to Boston with Aer Lingus.

    It ended up coming to ?212 each way!

    ?28 Tax
    ?144 Ticket
    ?40 Fuel Surcharge

    Saying the A330-200 takes approx 275 passengers, and,
    Saying the A330-300 takes approx 330 passengers

    For the -200 they bascally get ?50,600, and,
    For the -300 they get about ?60,700.

    I cant really figure out how much fuel they'd use so:

    1: How much fuel would an A330 use on a flight from Dub to Boston?
    (What distance - whats the fuel burn per hour at FL360)

    2: How much is Jet A1 fuel per litre ?
    (How much do the airlines get it for as they DO buy in bulk)

    3: How much profit would they make after this flight?
    (Taking into consideration the bills: 2 Pilots, 6 Flight Attendants, Food for all passengers and crew, ATC bills including landing charges, waste etc).

    Looking forward to your replies guys/gals :D :D
  • GoGoGadgetGoAround
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    by GoGoGadgetGoAround » Sun Oct 07, 2007 1:36 pm

    Not everyone pays the same price, imagine trying to get a last minute ticket, you'll be ripped, then do they have 1st class/business class?

    Doesn't the fuel surcharge covers the fuel?
    40 x 330 = ?13,200

    This is what Weston charges anyway for JET A1. (?0.81)

    13,200 / .81 = 16,296

    Would anyone else know if 16,296 lts of JET A1 sounds right?

    Interesting topic Michael747
    Engine Failure: A condition which occurs when all fuel tanks mysteriously become filled with air
  • StephenM
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    by StephenM » Sun Oct 07, 2007 11:36 pm

    Your forgetting Premier class too. They pay a heifty price. Also the stuff underneath the plane brings in revenue. Finally as GoGoGadget said not everyone pays the same price.

    You have to stimulate demand for this time of year.

    Edit, for the fuel flow figures I have the usage is more in the lines of: 37,632... Very different. (6 hours at 6,272)
  • Nanolight
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    by Nanolight » Sun Oct 07, 2007 11:41 pm

    I checked for the cheapest flight from Dublin to Boston with Aer Lingus.

    It ended up coming to ?212 each way!

    There's your answer. Not everyone on the plane is paying this. I am not an accountant and I think this is an interesting topic cause I have always wondered it myself but comon sense would suggest that 212 is for the first 50 seats (or whatever) on the plane, then the price goes up. And up.....

    Check how much a flight to Boston would cost for 4 days time and see hw much it is. As regards fuel, I wouldn't be using the price in weston as a guide. Airlines like ryanair use 'hedging' to pre-book fuel for a certain period of time at a fixed cost. And there are other things too, like paying your staff buttons and not recognising unins (in the case of ryanair).

    Again I am not an accountant and probably have this arseways but if you are one then please feel free to correct/ elaborate.... :P
    Smoke me a kipper, I'll be back for breakfast.
  • stovepipe
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    by stovepipe » Mon Oct 08, 2007 6:41 am

    Hi there
    First, what is carried in the hold is often the breadwinner for the flight. secondly, airlines hedge fuel, that is, buy it a year in advance, in tonnes.An A330 crossing the Atlantic would typically carry 60 tonnes.calculating the fuel cost for today is notnecessarily rlevant o fuel paid for a year ago....An EI A330 would have 11 cabin crew aboard and might have a spare pilot for a longer-distance trip.Costing wages into a flight is difficult as the crew are paid whether the flight happens or not. A lot of the ancillary products such as food, linen, cutlery,etc are either paid for well in advance or are on credit and paid at the end of the month....the aircraft might fly for twelve to sixteen hours in any 24-hour period, which is a more accurate base for calculating costs and profits, than just trying to tot up from a single trip.Nor have you factored in the breakdown of maintenance costs per flight hour/cycle.
    In sum, there are a lot more factors involved than just a bare fuel-burned-on -one-trip with 250 pax aboard calculation.

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