NOK Books a Further Loss of ฿1.46Bn in 3Q due to Covid-19 Pandemic-NokScoot’s Liquidation

Nok Airlines Public Company Limited (NOK) has reported its 3Q20 consolidated financial statement through the Stock Exchange of Thailand as follows;

NOK reported a net loss of 1,466 million Baht in 3Q20, decreased from a loss of 624 million Baht in 3Q19. The decrease in this quarter was mainly due to the ongoing Covid-19 pandemic that caused temporary suspensions of international flight operations, the new accounting standard which has been enforced since 1 January 2020 resulting in new reporting on foreign exchange loss as the company is in long-term leasing contracts with foreign partners and the liquidation of NokScoot Company Limited (the subsidiary) on 29 July 2020 as a result of financial loss.

 

NOK’s revenue during the 3Q20 was 4,827.74 million Baht which decreased by 47.68% from the same period in 2019, while having an operating cost of 9,473.19 million Baht lower by 10.74 % from the same period in 2019. The losses were mainly from 656.11 million Baht of unrealized exchange gain/loss, 462.65 from the loss of interests from right to use of land/office leases and the allowance for doubtful accounts for 1,446.02 million Baht based on the implementation of the new accounting standard for lease contract. 

 

As a result, NOK had a comprehensive loss of 2,598.71 million baht. In addition, the company recognized loss from dissolution of the company NokScoot Airlines Company Limited, a subsidiary. As a result, the loss attributable to the shareholders of the parent company increased to 3,935.96 million baht.