Jazeera Airways Reports Net Profit of KD7.1 million
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Jazeera Airways has posted a net profit of KD7.1 million for the year 2021, up 126.8% from the previous year.
The earnings were supported by an increase of 48.2% in the number of passengers flown, which reached 1, while load factors increased by 3.9% to 66.8% and yield increased by 28.6% to KD73.9.
Operating revenue for 2021 stood at KD80.4 million, up 94.3%, and operating profit increased by 152.2% to KD10.8 million.
Jazeera maintained the positive performance in the last quarter (Q4) of the year with a net profit of KD7.0 million, a 164.6% increase from the same quarter of 2020. Operating revenue increased by 285.5% to KD33.1 million while operating profit increased by 204.3% to KD9.3 million.
Number of passengers in Q4 increased by 476.6% to 520.2 thousand passengers, while the load factor increased by 35.2% to 74.2% and average utilisation of aircraft increased by 220.4% to 9.2 hours.
Commenting on the results, Jazeera Airways Chairman, Marwan Boodai said: “Jazeera’s performance in 2021 is proof that its flexible and resilient business model continues to safeguard customers, employees and shareholders in times of crises. Financially, our airline took the right steps to control costs and limit cash burn, while operationally we focused on new destinations that satisfied an appetite to travel to destinations marked “Covid-safe” as well as catering to a high and latent demand for connecting flights between the Middle East, Asia and Europe.”
Speaking of the airline’s performance, Jazeera Airways Chief Executive Officer, Rohit Ramachandran, said: “The challenges that the pandemic brought about in the travel industry in 2020 also opened new opportunities for our airline: cargo operations, charter flights and connecting routes were expanded to benefit our business. We were resourceful in adapting our business operations which enabled us to get through a very difficult period and come back strongly in 2021.”
Jazeera launched eight new routes in 2021, serving popular tourist and expat destinations that comprised Colombo (Sri Lanka), Addis Ababa (Ethiopia), Bishkek (Kyrgyzstan), Tashkent (Uzbekistan), Yerevan (Armenia), Antalya (Turkey) and Sarajevo (Bosnia and Herzegovina) in addition to London Heathrow airport as the first low-cost carrier (LCC) in the Middle East to operate direct flights to the airport.
Jazeera also took delivery of four Airbus A320neo aircraft during the year, bringing the fleet to 17 aircraft.
Boodai concluded: “We are confident that restrictions on the travel sector will only continue to ease, and traffic will return to pre-Covid-19 levels. Countries around the world have started to fully open their borders. As for Jazeera, we are looking forward to moving forward with our expansion plans, growing our network and fleet as well as our business capabilities.”