Basic Airline Profit Equation

[Ref. The Global Airline Industry Edited By Peter Belobaba, Amedeo Odoni and Cynthia Barnhart © 2009 John Wiley & Sons, L td. ISBN: 978-0-470-74077-4] Operating profit = RPK x Yield – ASK x Unit cost The equation is applicable for any industry – operating profit is the total revenue minus total operating expense. Please be […]

What’s ATK?

[Ref. The Global Airline Industry Edited By Peter Belobaba, Amedeo Odoni and Cynthia Barnhart © 2009 John Wiley & Sons, L td. ISBN: 978-0-470-74077-4] Available Tonne Kilometer (ATK) is defined as the output in units of cargo airlines. ATK is actually a similar concept to the ASK in passenger airlines.

What’s RTK (or RTM)?

[Ref. The Global Airline Industry Edited By Peter Belobaba, Amedeo Odoni and Cynthia Barnhart © 2009 John Wiley & Sons, L td. ISBN: 978-0-470-74077-4] Revenue Tonne Kilometer (RTK) is defined as 1 tonne of cargo transported 1 kilometer Revenue Tonne Kilometer (RTK), is also known as Revenue Ton mile (RTM). The concept is similar to […]