Fuel prices cloud Norwegian Air's improving performance

OSLO, Aug 25 (Reuters): Norwegian Air reported a second-quarter net profit on Thursday amid a surge in demand for air travel in Europe after pandemic restrictions were lifted, and was helped by reversal of an impairment charge related to its dispute with Boeing.
Norwegian, which had been in the red in the first quarter, warned that surging fuel costs would affect full-year earnings but also said strong demand for travel was giving it some room to raise ticket prices to offset high energy prices.
The airline, which came close to collapse in 2020, still made an operational loss in the second quarter but the loss was half that of the previous quarter.
Its April-June net profit of 1.25 billion crowns ($129.5 million) was boosted by a reversal of a previous 2.1 billion-crown impairment charge, triggered by the resolution to a long-standing conflict with aircraft maker Boeing.