Aeroflot and podeba:
Putinesque
— July 2018

Though oil prices have risen and the Russian economy has escaped from recession, Aeroflot’s profitability plunged during 2017. But while the country’s flag carrier is hamstrung by majority state ownership and influence, it is a statist corporate strategy that is Aeroflot’s biggest challenge.

In calendar 2017, under IFRS standards, the Aeroflot group’s revenue rose by 7.4% to ₽532.9n (US$9.1bn), thanks to a 15.4% rise in passengers carried, to 50.1m. However, group operating profit fell 26.1% to ₽40.4bn ($693m) and the net profit was down a substantial 40.6% year-on-year to ₽23.1bn ($395m) — see charts.