Looking at my Airplanes ...

Started by Athriaxo, January 28, 2009, 12:55:06 AM

Athriaxo

When looking at my airplanes all are making good profits even if LFs arent the best (wich i dont understand why since I got 85 company image and the route image is generally in the 100 region) but in the end of the week there is usually not much if anything left ... be4 i made way more money with less planes ... what happened any ideas? Or is it a bug?

Firejet

I get that too its kind of strange the more profit it says i make per plane ( i even add in pilot costs , etc.) the more aircraft i get the less line profit i make. Anyone have any reasons? and if so suggetions?

Dazwalsh

because all the costs rise as you expand, you need to utilise the aircraft in the best way possible, if a route isnt giving a good enough profit then cull it and plan another route, make sure that you cram in enough flights per day and route marketing is advised.

Athriaxo

Yeah but I made 6 millions a week one year ago, now i make between 0 and 3 million but have about 20 more planes on good routes so i dont understand what happened ... also, my LFs where getting worse thou advertising is as high as never be4 as is route and airline image ... still LFs went down and arent coming back!

Im confused as I reverted what I thought was wrong (alliance) allready .. i thought taking 0.8% of the ticket income would be the problem but now its not much better still!

Im checking the planes but even if weekly leasing cost is taken into account every one of my planes should still make half a million per week (wich they actually do, but nothing is left in the end .. some costs are just going insane since a while ... i guessed its all the maintainance but now that i put it to manual i still only make 3,8 maximum ... i mean why was it so much better be4? Something isnt right here it cant be that when i get more planes and they make the same money as the ones be4 that there is less left in the end!

Kontio

Something similar happened to me. My airline just stopped turning a profit, that was also right after I joined an alliance but I think it is a coincidence. I tried to restructure my routes and fleet, but it was very difficult as I was soon deep in debt. I decided to declare bankruptcy so that I could try again with a slightly different strategy.

tacsniper

#5
Same thing here as well, my airline took a plunge for a few days now and I had to lower my prices about 20% in order to stay in the green weekly. Instead of making $1-2M each week, I now only make $200,000 profit with 29 airplanes (every plane is making significant amount of "profit")... still trying to figure out what is wrong with my airline to get myself back into the $1-2M profit each week.

Talentz

QuoteIm checking the planes but even if weekly leasing cost is taken into account every one of my planes should still make half a million per week (wich they actually do, but nothing is left in the end .. some costs are just going insane since a while ... i guessed its all the maintainance but now that i put it to manual i still only make 3,8 maximum ... i mean why was it so much better be4? Something isnt right here it cant be that when i get more planes and they make the same money as the ones be4 that there is less left in the end!

QuoteInstead of making $1-2M each week, I now only make $200,000 profit with 29 airplanes (every plane is making significant amount of "profit")...



The aircraft daily and weekly profit section is a bit misleading. It will have you believe that all company costs are factored in that calculation. This is not correct.

It does not include two very important costs when running your airline: Labor and Fleet Commonality expenses.

To better understand the costs of running your airline, you should always look at the income statement(weekly)  That breaks down all costs into a per week stat. Then you can view the bigger picture.

~Though, the weekly statement doesnt include C check costs. While small (within a given year) it does add up when using older aircraft. A 2.4M C check avgs to 100k a month in added costs for that aircraft. If you have 10, thats 1M a month in added costs. So having an aircraft with a lower C check cost (1.2m) can save 500k per month.. 

Something to keep in mind when calculating true company costs per month/week .






Talentz