Norwegian Air Shuttle exceeds projected growth in May

Norwegian Air Shuttle has reported higher-than-expected growth in capacity and passenger traffic in May.

The Oslo-based airline, which is rapidly expanding its long-haul business across the Atlantic, also said its income per customer was in line with forecasts despite falling year-on-year.

The airline saw its revenue-generating passenger kilometres (RPK) grow by 51 per cent year-on-year in May, three per cent more than the predicted 48.8 per cent, according to Reuters.

In a statement, Norwegian Air’s chief executive Bjoern Kjos said: “Even with strong capacity growth, the demand is high.”

“Our strategy has been to build a strong, competitive company, and going forward we will reap what we have sown for the benefit of our customers, dedicated staff and shareholders.”

IAG buyout

On 21 May, Spanish newspaper Expansion reported that IAG was planning to offer €1.52bn for Norwegian following two unsuccessful approaches to the airline, although no bid has been forthcoming.

That report came after IAG had said a week earlier that it was not expecting to announce a bid to buy Norwegian soon and ruled out a hostile offer.

In April, IAG disclosed that it had bought a 4.61% stake in Norwegian, with a view to make a full offer for the airline.