Audit Report: South African Airways Remains Optimistic
South African Airways says it is optimistic about its future outlook even as its board and management are taking urgent steps to address issues raised in its 2016/17 audit report.
Accepting the audit report which was released last week, the airline’s CEO, Vuyani Jarana noted that the majority of the airline’s operations were sound. He said the management of SAA would build on the sound status to ensure the airline returns to profitability.
According to Jarana, the management of the airline is closely with the board and the shareholder to ensure success following the development and approval a clear strategy and five-year plan to turn the airline around.
“We need a clean break with the past and a new approach to the future, and that is precisely what we are doing. We are acting with urgency to ensure the viability and sustainability of this crucial national asset,” Jarana said.
The audit report forms part of SAA’s Integrated Report along with financial results for FY2016/2017, which are due to be announced later this month.
The airline has incurred a net loss of R5, 569 billion (2015/2016: R1, 478 billion) and expects that its financial situation will not be much different for FY2017/2018.
However, a number of significant steps have already been taken as part of the turnaround strategy, with the clear aim of taking SAA to profitability in the medium-term.