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"Due to the outbreak, SAS notes a reduced demand going forward,"
it said after reporting that total capacity (available seat
kilometers or ASK) and revenue passenger kilometers (RPK) grew
1.4% and 0.5% respectively from a year earlier.
Currency-adjusted unit revenue grew 1.1%, and passenger yield
2.2%, it said in a statement.
"Passenger growth, unit revenues and passenger yield showed good
development in February as COVID-19 had a limited impact," it
said.
Like other airlines, SAS has seen its shares hit this year by
uncertainty and falling demand due to the coronavirus spread.
"To mitigate some of the negative financial effects, SAS reduces
long- and short haul network capacity on routes with low forward
booking," it said.
On Tuesday, SAS canceled flights to northern Italy and Hong Kong
and withdrew its financial forecast for the year after the
outbreak hit demand.
SAS shares were down 3% at 1020 GMT, in line with the wider
market in Stockholm <.OMXSPI> and bringing their fall for the
year to date to 44%.
"Overall, even if we have a drop in Chinese flights in February,
I still see a positive effect on revenues compared to February
last year, but also remember we have a day extra more due to the
leap year," said Sydbank analyst Jacob Pedersen.
The epidemic could cost passenger airlines up to $113 billion in
revenue this year, an industry body warned this week as airlines
cancel flights and warn on profits.
Finland's Finnair <FIA1S.HE>, which has a strong focus on Asia,
posted its first drop in demand in years on Friday while on
Thursday the other main Nordic rival to SAS, Norwegian Air <NWC.OL>,
scrapped its 2020 forecast.
(Reporting by Anna Ringstrom; additional reporting by Colm
Fulton, Editing by Johan Ahlander and Alexander Smith)
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