Air Arabia announces 2Q 2012 net profit up 31 per cent

Air Arabia, an award winning airline, announced today its financial results for the three months ending June 30, 2012; reported a rise of 31 percent in the net profit to AED 66 million compared to AED 51 million in the corresponding period in 2011. The carrier’s turnover for the second quarter of 2012 stood at AED 729 million compared to AED 592 million reported in the same period of 2011, an increase of 23 per cent.

“Air Arabia’s expansion strategy and efficient operating model continue to be reflected in the airline’s financial performance, amidst continues political challenges that the region is witnessing” said Sheikh Abdullah Bin Mohammad Al Thani, Chairman of Air Arabia. “In the second quarter of this year, our proven ability to identify and capitalize on underserved served routes continued to reap enormous benefits.”

Demonstrating the continued strength of the airline’s business model, the airline welcomed onboard 1.3 million passengers in the second quarter of 2012 compared to the same period last year, an increase of 15 per cent.

Air Arabia’s average seat load factor – or passengers carried as a percentage of available seats – for the three months ending June 30, 2012, stood at an impressive 85 per cent, up 3 per cent on the same period last year.

For the six months ending June 30, 2012, Air Arabia reported a rise of 22 percent in net profit from AED 94 million in the corresponding period in 2011 to AED 115 million, an increase of 22 per cent.

The carrier’s turnover for the first half of 2012 stood at AED 1.3 billion, an increase of 22 per cent compared to AED 1.1 billion reported in the same period of 2011.

Air Arabia added two new routes in the first half of 2011, with Taif in Saudi Arabia and Salalah in Oman bringing the airlines global network to 75 destinations. Additionally, the airline increased the frequency of flights to Nagpur in India, Dammam and Riyadh in Saudi as well as to Kuwait. The first half of 2012 also saw the delivery of three new aircraft from Airbus as well as Air Arabia completing its first maintenance check with its new hangar facility.

The airline welcomed onboard 2.5 million passengers in the first half of 2012, an increase of 11 per cent compared to the same period last year.

“Looking ahead, we are confident about the outlook of low cost travel in the region. As we continue expanding into new markets and adding new services, we look forward to providing best-in-class services for our customers throughout the year and beyond” concluded Sheikh Abdullah Bin Mohammad Al Thani.

The second quarter of 2012 saw Air Arabia being ranked as the world’s second best performing airline in a study by Aviation Week, the leading global aviation magazine. The Top-Performing Airlines (TPA) Study ranked the top 10 performing airlines worldwide, based on five different performance categories, including financial and operational performance. Air Arabia was the only Middle East airline to claim a spot in the study.