Whats your best profit margin.

Anyone ever get over   % 40 .     Usually I'm around 37-38. 

Depends on the world. I could get 40-45% if I play on modern world with Modern and efficient aircraft, A330/A340, B777 or B737/A320.

Like TNT says............ modern, efficient aircraft make the highest profit and anything over 40% is very, very good.......I'm talking net profit before taxes.

Even anything in the 30's would be very good, especially before the 90's............. it's very dependent on the aircraft and demand. 

But there are many other things that also effect profit like competition on your routes.

And other players say lots of things and not all of them are telling you the truth.

The airline making the most profit and money is usually the first one with lots of extra cash to spend on stuff like buying aircraft instead of leasing and building terminals instead of buying gates. 

Being good at math comes in handy when you want to make lot's of money in this game.

But how? I am number 3 in the world (June 2004) but just always a net profit of around 29%. I have one of the fastest growing airlines if you take a look at value growth, but how can i increase my net profit? Average age of my aircraft is 5,57 which is very young (2200 aircraft in service, 19,19 utilization). Ofcourse Ive some inefficient aircraft like A300/A310/MD11, but those aircraft are only 12,4% of my totall.

And, how can I increase my value growth faster? I dont have lease planes, and all my aircraft are being phased out before age 12. 

^ Lowering wages is one thing, don't waste money on advertisement, they're useless, use spam IFS, use more fuel efficient aircrafts (A300-600R is quite good but not the best, avoid A310 and MD11 at all cost, they have one of the worst fuel efficient on the market)

Also, choose all the aircraft with the most fuel efficient engines, use less aircrafts family because each aircraft type have base maintenance base each month. Less competition on routes mean higher profits as well. Too many competition mean that you have to lower ticket prices, which resulted in less profits. I'm gonna listed all the aircrafts you currently operated that have high fuel consumption:

B717-200

B737-300

B767-200ER

B767-300

B767-300ER

B777-200ER

MD-11

A310-300

A330-200

You should use more of this aircraft:

A319

A320

A321-100/200

A330-300

A340-200/300    (Second best in terms of range vs capacity)

B737-400           (Best Fuel efficiency for narrow-body)

B737-800

B777-200

B777-300           (Best Fuel efficiency for wide-body)

but with more than 2000 aircraft, a DOP of 670 million, does maintenance base costs really hurt my profit margin/value growth? I need more families, if I dont, i cant expand quickly, right?

Usually, with that many aircraft, I usually made more than 1 Billion on DOP. If you really need to then sure, go for it. But right now, you're ordering All the wrong aircrafts. You order A310 instead of A300-600R, you order A330-200 instead of A330-300 or A340-200/300, also you order MD-11 instead of B747-400 which have better fuel consumption vs capacity ratio. B717 and B737-300 is a no-no, convert your B737-300 to B737-400, and order more A320/A321 instead.

Oh, and I never retire my old aircrafts, I just used it till the world ends. 

I see, but if I cancel those outstanding order, I lose all my money I invested in purchasing them, right?

I never ordered the 744 because I thought the Italian market is not very suitable for it..

The MD11 I bought to replace the old MD11 in order that I dont need to replace them by another aircraft -> thus expansion. Same for the 733.

You dont retire them? And the huge maintenance costs and low valuation of these aircraft then?

Im still #3 and one of the fastest growing, so i dont totally understand that I bought the wrong aircraft then. But you suggest to cancel my outstanding orders to buy other aircraft? Although I lose a lot of money with that?

Depends, i've done many canceling for my airlines which is currently at number one. About the aircraft, I never changed them. I focus more on expansion instead of re-routing. Hence why I was able to get big. I also removed all first class to save time. I also used Connecting passengers. Sure you're growing faster, but you're the one who said you have net profits around 29%.

I'm currently got 34%. Mostly because I'm playing in the older world. It only have plane like L-1011 or DC-10 and older B747.

You know it TNT.

TNT is absolutely correct on everything he said.

I just started in R7, were 8 months in and my net profit is now over 40% and that's with the new expenses of some very large aircraft as they just started arriving and it's only 1985.......the nice aircraft are still several years away.

But you need to do everything right and squeeze every dollar out of every route.

33% in 1990 which is pretty good considering I operate loads of different aircraft families to get orders quicker

Make sure you look into used markets. But it seems like you always using young fleet, so it goes again your tactics. 

But about the retiring, once I read a post on this forum that you should phase out your aircraft between 12-15 years otherwise the aircraft would not be profitable to operate due to high maintenance costs etc.. Not true? You operate aircraft of 20-30 years old?

But about the retiring, once I read a post on this forum that you should phase out your aircraft between 12-15 years otherwise the aircraft would not be profitable to operate due to high maintenance costs etc.. Not true? You operate aircraft of 20-30 years old?

LOL no, a 15 year old 737-400 can easily keep making 200k+ DOP, if you want to replace it with something newer in the same class you might get your profits up by some 20%, but the old thing is far from not being profitable.

Depends on a world, when I want a nice little neat airline with high reputation I replace stuff older than 12 years, if I want pax volume and can't get enough planes and don't want to spend time on replacing 2000+ planes, most of 20-25 year old things will keep flying.

I don't even want to think how much work that would be Konj1.

Getting back to what profit is possible, I'm starting to even out in R7 and my profit last month was 44.39%

Not bad for 1985 aircraft including 737-300's and MD-81's.......actually it doesn't get much better than that till you get the newer, more efficient aircraft.

But there are a lot of things you need to do right to get that kind of profit.

Actually, I kinda walked away with R7 and it's not much of a challenge so I started in O1 about 11 months in to see what I can do when I'm starting way behind.......and because it's 1990 you get better aircraft. 

You just started a new airlines, wait till you got around 100 aircraft to see your real profits.

I think I'll be abandoning my airline in R7 pretty quick and concentrate on the bigger challenge of reaching the top 5 in O1.

I just set my new daily profit record in O1 for a 737-400..............$ 726,984 

Of course you can pump up prices when O1 is new, I don't remember exactly but I think I had 737-300s with 1,5M DOP in new worlds... You can do it in any fresh market, and also as competition grows, your honeymoon might be over soon, in any other world as well, it won't get any easier because you have one good earner (for now).

Why would you abandon R7 when you're no.1 there? Use that money and stay no.1.