25 Jan 2011

Virgin Blue issues profit downgrade

12:55 pm on 25 January 2011

Australia's second-largest airline Virgin Blue says its half-year net profit is likely to fall as recent floods in Queensland and a slowdown in consumer spending hits revenues.

The airline, in which Air New Zealand has just bought a 15% stake, says its profit will be between $A23 million and $A26 million.

Virgin recorded a net profit in the same period a year earlier of $A62.5 million.