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Aeroflot says profits, passengers climb in third quarter

Russia's flagship carrier Aeroflot said Wednesday its net profit had grown nearly seven-fold in the third quarter despite an economic crisis that has battered the Russian
aviation industry.

The majority state-controlled company said it had earned a net profit of 41.2 billion rubles ($630 million) between July and September.

Total revenue rose 18 percent to 157.5 billion rubles.

Russia's aviation industry has struggled in the face of the country's economic crisis caused by falling oil prices and Western sanctions imposed over Moscow's actions in Ukraine, hitting travellers' wallets.

Aeroflot is emerging strong from the economic crisis that is now showing signs of stabilisation, capitalising on the bankrupcy of its main competitor Transaero last year.

Aeroflot also saw its passenger numbers climb by 9.2 percent to 32.8 million in the first nine months of 2016, compared to the same period last year.

Aeroflot's deputy chief executive for finance, Shamil Kurmashov, said in a statement that the results showed a "significant improvement" year-on-year.


He said the latest results could be explained by a "growth of the business, net positive FX effects and tight control of operating costs."

AFP


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