Jazeera Airways has announced financial results for the first half (1H) of 2023 with total revenues up 26.1% to KD97.85 million and operating profits of KD9.35 million. Net profit for the period was KD6.27 million compared to KD 7.38 million for the same period last year.
With a strong demand for air travel, Jazeera’s passenger traffic showed a 40.9% increase to 2.1 million for the first half of the year. Load factors also increased by 4.1% to reach 78.1% in H1.
Solid Financial Performance in 1H 2023
Jazeera Airways exhibited a substantial increase in total revenues, which soared by an impressive 26.1% to reach KD97.85 million. Operating profits followed suit, standing at KD9.35 million.
Net profit for the period settled at KD6.27 million, slightly down from KD7.38 million in the corresponding period last year.
It’s worth noting that the previous year’s profits included a “one-off” gain of KD1.73 million resulting from the airline’s sale and lease-back of engines.
Surge in Passenger Traffic and Load Factors
The airline’s passenger traffic experienced a remarkable uptick, with a huge 40.9% surge to 2.1 million travelers in the first half of the year.
Load factors, a critical metric in aviation, also rose by 4.1% to achieve 78.1% during the same period. This impressive growth signifies Jazeera Airways’ ability to capture and cater to the increasing demand for air travel.
Marwan Boodai, Chairman of Jazeera Airways, expressed optimism and confidence in the airline’s performance. He attributed the positive results to the high demand for travel and highlighted the increased passenger traffic and load factors as indicators of Jazeera’s success.
Boodai also emphasized the airline’s dedication to enhancing operational and financial performance, while focusing on delivering value to shareholders, partners, and customers.
The Jazeera Airways Board of Directors sanctioned an interim cash dividend of 28 fils per share, amounting to a substantial KD6.16 million for H1. This move underscores the company’s robust financial position and its commitment to rewarding its shareholders.
During the second quarter of 2023, Jazeera Airways embarked on an ambitious expansion plan. The airline broadened its network by adding direct flights to various destinations, including Moscow, Samarkand, Larnaca, Shiraz, Belgrade, Tirana, and Tivat.
An important milestone was also achieved as Jazeera became the first GCC carrier to offer direct flights from Kuwait to Sphinx International Airport in Cairo, Egypt, marking the airline’s seventh destination in the country.
Additionally, Jazeera Airways further solidified its expansion strategy by welcoming two additional aircraft to its fleet.
The airline has also initiated a significant upgrade by ordering over 2,000 of the world’s lightest aircraft seats, leading to substantial weight savings, reduced fuel consumption, and increased passenger capacity.
Acknowledging the importance of customer satisfaction, Jazeera Airways introduced a range of enhancements to its offerings. The airline now provides the convenience of online pre-ordering from their Duty Free and On-board shop.
This initiative aims to streamline the shopping experience for passengers and aligns with Jazeera’s commitment to improving their product offerings.
Future Prospects and Continued Growth
As the year progresses, Jazeera Airways is poised to unveil several new routes designed to cater to the diverse needs of both business and leisure travelers.
The airline’s commitment to expansion is further highlighted by its plan to introduce three more aircraft to its fleet by the end of the current financial year.
This strategic move, combined with the addition of new destinations, is a testament to Jazeera’s dedication to serving its fast-growing network.
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