Air Arabia earns $113 million in net profit in three months

Air Arabia earned $113 million in net profit in three months

Air Arabia's net income for the three-month period ending September 30 almost doubled to AED416 million — $113.27 million — from AED209 million in the same quarter last year, the airline said in a statement the day before.

Revenue during this period also doubled year-on-year to AED1.6 billion, and the number of passengers carried also more than doubled. The record performance was “driven by strong passenger demand and tight cost control measures by management,” — said the head of Air Arabia, Sheikh Abdullah bin Mohammed Al Thani.

Air travel demand is recovering as border restrictions are eased and travelers are enjoying freedom of movement after two years of COVID-19 lockdown. However, high oil prices, rising inflation and a shortage of employees have jeopardized the global aviation industry's recovery as airlines themselves struggle to ramp up operations to keep up with demand.

From July to September Air Arabia carried more than 3.9 million passengers through its airports in the UAE, Morocco, Egypt and Armenia, up 103 percent from the same quarter in 2021.

The average load factor of an airline — that is, how well the airline fills empty seats — averaged 80 percent in those three months. The Sharjah-based airline's nine-month profit rose to AED867 million, up 242 percent year-over-year.

Revenue more than doubled to AED3.8 billion year-over-year 2021 year, the airline carried more than 9 million passengers, an increase of 118 percent year on year. During this period, Air Arabia added 10 new aircraft to its fleet and expanded its route network by launching flights to 14 new cities through its hubs.

Fly Arna was launched in June, which in currently operates two Airbus A320 aircraft and serves five destinations from Yerevan. In September, Air Arabia formed a joint venture to launch Air Arabia Sudan in partnership with Sudanese conglomerate DAL Group.

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