Regional Express has called on the federal government to prevent the collapse of more regional airlines after flagging a steep fall in first half profit.

Shares in the nation’s largest independent regional airline fell five cents, or 5.6 per cent, to 85 cents at 1145 AEDT on Monday after it said its pre-tax profit in the first half of the financial year would be about 60 per cent lower than the previous corresponding period.

“The entire aviation industry is financially haemorrhaging right now and approaching collapse,” Rex’s chief operating officer Garry Filmer said in a statement after the market closed on Friday.

“We have already seen the collapse of two of Australia’s oldest regional carriers during this financial year – Aeropelican and Brindabella – and in today’s toxic aviation environment, more will likely follow suit.”

Mr Filmer urged National’s leader and minister for infrastructure and regional development Warren Truss to fulfil his election commitment to regional aviation, saying the coalition government had made little progress improving the economy.

“Many regional carriers have little time left before they face the same fate as Brindabella,” Mr Filmer said.

For many parts of regional Australia, this would spell the end of regular air services under the National’s watch.

The domestic airline industry is under severe pressure after Virgin Australia foreshadowed a $49 million ($NZ53.2m) loss for the first half of the financial year and Qantas recently flagged a $300 million underlying loss for the six months to the end of 2013.

In August last year Regional Express made a profit of $14 million in the 2013/14 financial year, down from $25.5 million in the previous year.

Regional Express transports passengers and freight and operates 40 aircraft to 35 Australian destinations.