Emirates news agency – Air Arabia reports net profit of AED 44million in first half of 2021
SHARJAH, Aug 9, 2021 (WAM) – Air Arabia (PJSC), the leading and largest operator of low cost airlines in the Middle East and North Africa, today announced a profitable first half ( January to June) 2021 despite the continued impact of COVID-19 on the financial and operational performance of the aviation industry.
Air Arabia reported net profit of AED44 million for the first six months ending June 30, 2021, an increase of 126% from the corresponding first half of 2020. During the same period, the airline achieved a turnover of AED 1 billion, a 5% increase from the corresponding first half of last year. More than 2.3 million passengers flew with Air Arabia between January and June 2021 at the carrier’s five hubs, while the airline’s average seat occupancy factor – or passengers carried as a percentage of available seats – in the first six months of 2021 averaged 73 percent. hundred.
Air Arabia managed to post a profitable second quarter despite the continued impact of the COVID-19 pandemic on industry results. This is the third consecutive profitable quarter the company has managed to record since the pandemic hit the aviation industry.
In the second quarter ending June 30, 2021, Air Arabia recorded a net profit of AED10 million, an increase of 104% from the net loss recorded for the same period last year. The company’s revenue for the second quarter of 2021 increased by 313% as the gradual recovery continued and recorded AED 496 million, compared to AED 120 million for the corresponding period of the year last. More than 940,000 passengers flew with Air Arabia between March and June 2021 through the carrier’s five hubs, while the airline’s average seat occupancy factor in the second quarter of 2021 averaged 70 %.
Sheikh Abdullah bin Mohamed Al Thani, Chairman of Air Arabia, said: “Air Arabia’s ability to post a profitable first half of 2021, despite the continued impact of the COVID-19 pandemic on the aviation industry in the world, is a direct result of cost control. measures adopted by the management team and supported by the gradual resumption of operations observed in the first half of the year “.
He added: “While the resumption of flights from the pre-pandemic period is still subject to many restrictions, the second quarter of 2021 has seen a gradual improvement over the same quarter last year, which has was strongly impacted by the subsequent cancellation of scheduled flights. We remain optimistic that the gradual relaxation of travel restrictions and the resumption of operations will continue to help the industry on the road to recovery. “
During the first half of the year, Air Arabia also succeeded in expanding its route network by launching new flights from its hubs in the United Arab Emirates and Egypt. The carrier has also partnered with Etihad Guest, the Etihad Airways loyalty program to allow members of both programs to benefit from reciprocal transfers of points and miles. In July this year, the Air Arabia group signed an agreement with the Armenian National Interest Fund (ANIF) to launch the new national airline of Armenia.
Al Thani concluded: “Air Arabia remains focused on taking additional measures to control costs and support business continuity in the second half of the year, as we continue to resume operations where possible. “.