Air Arabia has posted a record net profit of AED 210 million ($57 million) for the three months ending 30 June, an increase of 75 per cent compared on the same period last year.
The Middle East and North Africa’s first and largest low-cost carrier said it continued to deliver robust and sustained performance. Turnover for the quarter rose by 22 per cent to AED 1.144 billion, compared to AED 938 million in the same period last year.
The strong second quarter financial results were backed by solid growth in passenger demand with Air Arabia serving over three million passengers from its four hubs in the UAE, Morocco and Egypt, an increase of 16 per cent compared to 2.59 million passengers carried in the same quarter last year.
The average seat load factor – or passengers carried as a percentage of available seats – for the same quarter stood at 84 per cent.
Air Arabia chairman, Sheikh Abdullah Bin Mohamed Al Thani said: “We are glad the strong Air Arabia performance witnessed in the first quarter of this year continued in the second quarter driven by our cost control measures, improved yield margins and strong passenger demand.”
Equally, Air Arabia reported strong set of results for the first half ending 30 June, 2019 registering a net profit of AED 338 million; a 47 per cent increase compared to AED 230 million reported for the same period last year.
Air Arabia served over 5.82 million passengers from all its four hubs in the first half of 2019, an increase of 12 per cent compared to first half of 2018. The average seat load factor – or passengers carried as a percentage of available seats – for the same period stood at 84 per cent.
Al Thani added: “Air Arabia’s record second quarter and first half 2019 performance reflects the strength of the business model we operate as well as the appealing demand for the value driven services that Air Arabia offers.
“The global and regional aviation industry continued to be impacted by pressing economic challenges and escalating geo-political tensions during the first half of this year; and despite of that, Air Arabia managed to register record performance supported by strong passenger demand, momentum growth and operational efficiency.”
During the first half of 2019, Air Arabia received its first brand new Airbus A321neo bringing its fleet to 54 aircraft. This is the first of five aircraft to be delivered in 2019 that will help the carrier expand to new medium-haul markets.
The airline added a total of 10 new routes to its global network in the first half of this year including Casablanca to Lisbon, Pisa, Prague and Tunis while new flights started between Tangier and Lyon; Fez and Rome.
Air Arabia also expanded its operation from its Egypt hub with new flights connecting Sharm El Sheikh to Milan Bergamo, Amman and Luxor; as well as Sohag to Riyadh. It also launched four new destinations from its main hub in Sharjah to Kuala Lumpur, Tunis, Vienna and Bishkek with flights commencing in third quarter of this year.