BA Q2 profit down 57%

British Airways reported that Q2 profits were 57% lower after cutting ticket prices and a strike by staff.

The airline reported pre-tax profits of £105m (€152.71) for the three months to September. Sales fell by 5.8% to £1.98 bn (€2.87bn).Yields in the second quarter were down 5.9%.

However, these figures were better than analysts had forecasted.

Chief executive Rod Eddington remained positive. "Despite a difficult quarter, which included unofficial industrial action at Heathrow, the results show that both our recovery programme and other business plan initiatives are helping to offset the continued deterioration in revenue," he said.

BA also announced that Martin Broughton will succeed Lord Marshall as chairman from July 20 2004.

Broughton, who will step down as chief executive of British American Tobacco at the end of June 2004, was named deputy chairman with immediate effect.