Profit up 53% compared with 2018... with the third quarter accounting for the largest share
The company's 55 aircraft operate from its hubs in the UAE, Egypt and Morocco... and it carried 9.2 million passengers through the end of last September
Air Arabia, the largest Emirati low-cost airline in the Middle East and North Africa, today announced record financial and operational results for the first nine months of 2019, which ended on September 30, achieving a net profit of AED 809 million, up 53% compared with the same period of 2018, which recorded AED 530 million.
Air Arabia said in a statement that the company's revenue in the 9 months of the current financial year reached AED 3.6 billion, up 20% from the same period last year, which amounted to AED 3 billion. The company carried about 9.2 million passengers from its four hubs in the UAE, Egypt and Morocco, an increase of 11% compared with the number of passengers in the same period of 2018, and its seat load factor remained high, reaching 83% during the period.
The third quarter of the current financial year accounted for the largest share of Air Arabia's total 9-month profit, as the company achieved a net profit of AED 471 million in the three months ending September 30, up 57% from the same period last year, when profit reached AED 300 million. The company's revenue also rose by 12% in the third quarter of 2019 to AED 1.4 billion, compared with AED 1.3 billion in 2018.
The report attributed the strength of the third-quarter financial results to high demand for the company's flights during the period, as Air Arabia served more than 3.4 million passengers from its four hubs in the United Arab Emirates, Morocco and Egypt, recording a 10% increase in passenger numbers compared with the same period last year, and the company maintained a high load factor of 82% during the period.
In this context, Sheikh Abdullah bin Mohammed Al Thani, Chairman of Air Arabia, said the strong results the company recorded in the third quarter of this year reflect the strength and effectiveness of the business model we follow and the value-added services we provide to our customers daily, which have led to increased demand for the company's flights, as well as the pursuit of an effective growth strategy and the cost-control measures adopted by management, stressing that the focus will be on enhancing operational efficiency and providing the best value-for-money options for the company's customers.
Al Thani pointed out that current economic and business conditions are affecting the aviation industry around the world, especially in the Middle East and North Africa, amid continuing economic challenges and escalating geopolitical tensions, and that Air Arabia is cautiously continuing its plans for growth and for expanding the geographic reach of its network.
On the other hand, Air Arabia revealed in its report that it received two new long-range Airbus A321neo LR aircraft in the first nine months of 2019, bringing the number of aircraft in its fleet to 55. The new aircraft accommodates 215 passengers and helps add medium-haul flights to new destinations and expand its existing network while increasing its seat capacity.
Air Arabia added 12 new destinations to its global network in the first nine months of this year, with its aircraft flying from the company's main hub in the UAE, from Sharjah, to Vienna in Austria, Kuala Lumpur in Malaysia and Tunis in Tunisia. It also expanded its network from its hub in Morocco by adding flights from Casablanca to Lisbon, Pisa and Prague, while new flights were launched between Tangier and Lyon. It also launched new flights from its hub in Egypt, from Sharm El-Sheikh to Milan Bergamo, Amman and Naples, in addition to new flights between Sohag and Riyadh.
In the first nine months of the year, Air Arabia launched its free "Sky Time" in-flight entertainment system, which allows passengers to watch live digital content on their smartphones, tablets and laptops during their journey.
In October, Air Arabia won the "Best Low-Cost Airline" award at the Oman Airports Awards ceremony, and also won the "Best Low-Cost Airline" award at the 2019 "Aviation Business" magazine awards ceremony.
In addition, the carrier announced last October an agreement with Etihad Aviation Group to launch "Air Arabia Abu Dhabi", which will become the first low-cost airline in the capital.
Air Arabia currently operates flights to more than 170 destinations worldwide in 50 countries from 4 hubs in the United Arab Emirates, Morocco and Egypt.
