LISBON, Aug 29 Reuters Portuguese airline TAP said on Thursday its secondquarter net profit fell 10 to 72.2 million euros 80.3 million, as foreign exchange losses from the devaluation of the Brazilian real offset an operating income increase.

The stateowned flag carrier39;s operating income rose 3.4 to 1.1 billion euros during the period, with passenger revenues up 0.8 to 986.4 million euros.

TAP said net profit was impacted by foreign exchange losses following the depreciation of the Brazilian real.

Chief Executive Luis Rodrigues said in a statement that TAP remained on the necessary path of structural transformation.

We continue on the path we set out to follow, with the commitment of our people and the support of our stakeholders, to establish TAP as a sustainably profitable company and one of the most attractive companies in the industry, he said.

The airline39;s operating costs fell 0.8 to 938.6 million euros, despite an 18 jump in wage costs as it reversed pay cuts imposed under a tough restructuring plan.

Passenger numbers rose 2.2 to around 4.2 million.

TAP39;s recurring earnings before interest, taxes, depreciation and amortisation EBITDA rose 19.6 to 289 million euros and its EBITDA margin a measure of profitability rose to 26.1 from 22.6 a year ago.

In July, Infrastructure Minister Miguel Pinto Luz said that the centreright government wanted to privatise TAP sooner rather than later to take advantage of market interest in the airline and was moving…