Pakistan International Airlines (PIA) has posted a loss of PRs18 billion ($189 million) for the six months ended 30 June, compared with its PRs10.7 billion loss in the corresponding period last year.
Revenue declined by 2.89% to PRs54.2 billion from PRs55.8 billion. The carrier reported a PRs12.5 billion operating loss for the period, compared with PRs5.19 billion last year.
For the quarter ended 30 June, it posted a net loss of PRs10.2 billion compared with PRs6.5 billion for the same period last year.
Revenue for the quarter fell by 6.33% year on year to PRs27.8 billion. The carrier widened its operating loss from PRs3.61 billion last year to PRs7.49 billion.
PIA's passenger traffic for the first half of 2012, as measured in RPKs, declined by 10% and its load factor decreased by 4.3 percentage points.
The carrier attributed its revenue decline to factors such as lower passenger capacity and availability of aircraft, and a global slowdown in cargo business.
Moreover, the depreciation in the Pakistan rupee increased exchange losses by PRs4.2 billion, while the currency as of 30 June was weaker by 10% at PRs94.55 to $1, compared with PRs85.95 to $1.
The airline says that it expects challenges like rising fuel costs, exchange rate volatility, and the deteriorating economic and security situation to continue to affect its business in 2012.