Danish budget airline Cimber Sterling said a drop in business travel, lower fares and poor weather sent its full-year loss spiralling lower, but added it expects a recovery in the 2010/11 financial year.
An exceptionally cold winter and the airspace closure caused by the ash cloud from an Icelandic volcano hit results, said Cimber Sterling, a smaller rival to SAS Norwegian Air.
"The winter weather in 2010 in Denmark and elsewhere in the world was the most severe of the past 15 years, with an adverse impact on air traffic," Cimber Sterling said in its annual report.
Operating losses deepened to DKK294 million kroner (USD$53 million) in its 2009/10 financial year from a loss of DKK2 million a year earlier, the airline said.
Cimber forecast that operating losses would narrow to a range of DKK20 million - DKK80 million in 2010/11 and full-year revenues would grow by about 29 percent to around DKK2 billion.
*Reuters