MENA Newswire News Desk: Air Arabia PJSC, the Middle East and North Africa’s pioneering low-cost carrier, has reported a record net profit of AED 564 million for the third quarter of 2024, marking an 8% increase from AED 522 million in the same period last year. This performance is supported by a 10% rise in turnover, which reached AED 1.78 billion, underscoring the airline’s robust financial and operational momentum in a challenging market.
From July to September 2024, Air Arabia Group transported over 5.1 million passengers across its operational hubs, an 8% increase from the 4.7 million passengers recorded in the third quarter of 2023. The airline’s seat load factor—a measure of seat occupancy—also rose by 2% to 81%, reflecting sustained demand for its services. Sheikh Abdullah Bin Mohammad Al Thani, Chairman of Air Arabia, attributed these results to the carrier’s resilient business model and the value it offers to customers despite ongoing industry challenges.
Sheikh Al Thani acknowledged that the airline industry continues to face pressures from geopolitical and economic disruptions. Air Arabia has been impacted by regional airspace restrictions that led to route adjustments and, in certain cases, temporary flight suspensions. Additional challenges included managing inflationary pressures from supply chain disruptions, currency fluctuations, and fuel price volatility. Nonetheless, Air Arabia expanded its network and operational capacity, sustaining a strong operating margin.
For the first nine months of 2024, Air Arabia reported a net profit of AED 1.25 billion, a slight decline of 5% from AED 1.32 billion in the same period of 2023. However, turnover for the January to September period climbed 12%, reaching AED 4.98 billion. The airline carried over 14 million passengers during this period, a 13% increase year-over-year, with its average seat load factor rising to 82%, reinforcing the steady demand for low-cost travel across the region.
The carrier’s liquidity remains strong, with cash and cash and cash equivalents totaling AED 4.9 billion for the first nine months of 2024, demonstrating Air Arabia’s solid financial base to support ongoing growth and operational initiatives. In line with its expansion strategy, Air Arabia added six new Airbus A320 and A321 aircraft to its fleet during this period, bringing the total to 77 owned and leased aircraft.
This fleet expansion was complemented by a network growth that saw the airline launch 22 new routes across its hubs in the UAE, Morocco, Egypt, and Pakistan, reflecting the carrier’s commitment to broadening its reach and enhancing travel options for its customer base.
Sheikh Al Thani expressed confidence in Air Arabia’s ongoing focus on disciplined cost management and strategic growth, with plans to further expand route offerings and enhance operational efficiencies. As the airline approaches the end of 2024, it remains committed to its core strategy of providing reliable, affordable travel options while delivering value to shareholders and customers alike.