Richard Branson’s Virgin Atlantic is set to return to profitability this year following a reduction in fuel costs in the year and also its strong partnership with Delta airlines and robust economic times. This will be an incredible thing following three years of annual losses. The airline says it does not see the Ebola threat as one that will significantly affect travel demand to an extent of reducing profits.
The Delta venture is shaping up to have been a more lucrative venture, it has helped to reach more destinations in the US and also have more occupied seats in the regular flights. Virgin Atlantic CEO dismissed claims of an impending name change saying “Delta wants virgin to be the virgin it found, to compete with other airlines effectively”
Virgin has recently shifted to more efficient twin engines plane models from its previous four engine models to reduce operational costs. However planes such as the AIRBUS A340 will take time to be delivered but the airline has its sights set on replacement of over 60% of its aircraft in the next four years. However, aircraft such as the Boeing 747 will be maintained to service the luxury routes.
Virgins Kreeger said that passengers preferred to fly through Heathrow airport as opposed to Gatwick airport. Although the airline has operations from both hubs there are more opportunities for growth at Heathrow than Gatwick. This comes even as Virgin is poised to make a decision on what planes will replace a fleet of seven 747’s based at Gatwick airport. The airline has made 21 orders for 787-9 jets better known as Dreamliner jets for routes that fly out of its Heathrow hub. These jets are most likely replacements for the less fuel efficient 747’s.