Announcing its interim financial results for the period ending June 30, 2012, 1time Holdings said that group’s financial performance was poor, incurring a total loss of R43,5 million, compared with the R33,9 million loss for the same period last year. 
1time Blacky Komani said that the incurred loss of the airline was due to new route developments, namely Lanseria and Mombasa - both launched in the early part of 2012. The financial results show that the Lanseria and Mombasa routes resulted in losses of R16,8 million and R8 million respectively over a six month period. Both routes have since been put on hold, until the core business returns to profitability.
The group continued to say that fuel, airport charges and ground handling costs constituted 80% of the airline’s operating cost, which increased 30% year-on-year. According to the group, this drove up the overall operating cost base by 25%, which was only partially offset by an increase of 11% in revenue in the airline.
Looking ahead, the group said that at the point of reaching a consensus with contractual counterparts, the group will be in a position to launch its proposed rights offer. The rights offer consists of new ordinary shares that has been approved at the group’s AGM on July 27, with the view of issuing up to 700 000 000 new ordinary shares for cash subscription.
“The purpose of  the proposed rights offer is to restore the balance sheet of the group following two years of losses that have materially weakened the existing balance sheet, liquidity and reserves levels. The board view a strong balance sheet and creation of an appropriate liquidity buffer as a more suitable framework to support long term sustainability of a commercial low cost airline enterprise, in a market where air travel has a secure and growing share of the intercity travel market,” said Komani.
Komani continued to say that the group is confident that the turnaround strategy that the business rescue practitioners is compiling at present will get the necessary approvals in order for the group to return to liquidity and sustainability. 
“We are expecting higher demand in the second half of the financial year and with the continued support of the South African public have been experiencing good load factors," Komani continued.