Etihad Achieves Billion in Revenue Over Nine Months
Etihad Airways Reports Exceptional Financial Growth in 2024
In a remarkable demonstration of resilience and strategic foresight, Etihad Airways, the national carrier of Abu Dhabi, has disclosed impressive financial results for the first nine months of 2024. The airline’s revenue surged by 21%, climbing to AED 18.4 billion (approximately billion), compared to AED 15.1 billion (.1 billion) for the same period last year. More notably, Etihad recorded a substantial increase in net profit, which soared by 66% to AED 1.4 billion (8 million), up from AED 814 million (2 million) in the corresponding period of 2023.
These results, announced on October 30, 2024, reflect the airline’s robust recovery following the challenges posed by the COVID-19 pandemic and are largely credited to a stronger summer travel season and the effective implementation of an ambitious network expansion strategy. This expansion has been complemented by noteworthy growth in the cargo sector, particularly evident during the third quarter of the year.
Passenger revenue was a key driver of the airline’s financial success, reaching AED 15.2 billion with a 21% increase. This growth can be attributed to strategic enhancements in network capacity, which enabled more frequent flights and improved connectivity, thereby accommodating a surge in passenger demand. Over the first nine months of 2024, Etihad carried nearly 14 million passengers, marking an impressive 35% increase year-on-year. The airline also reported a significant increase in Available Seat Kilometres (ASK), which reached 68.2 billion—a 31% rise compared to the previous year.
A notable highlight of the airline’s operational performance was the average passenger load factor, which stood at 87%, slightly up from 86% during the same period last year. This metric underscores the effectiveness of Etihad’s capacity management strategies and the growing popularity of its services among travelers.
Etihad attributed its strong performance not only to an increase in passenger numbers but also to the growth of its freight services. Cargo revenue reached AED 3 billion, representing a growth of 21% year-on-year, fueled by increased capacity, higher shipment volumes, and enhanced yields. The efficiency of the airline’s operations continued to improve, with the cost per Available Seat Kilometre (CASK) ex-fuel decreasing by 8% year-on-year, even amidst rising operational costs tied to growth and ongoing investments aimed at enhancing customer service and product offerings.
The improvements in customer experience have been noteworthy, with rising customer satisfaction ratings reflecting the airline’s commitment to quality service. Key developments contributing to this enhanced experience include the introduction of the airline’s fifth Airbus A380 aircraft and the enhanced services enabled by the new Terminal A at Zayed International Airport, which has provided expanded flight options for travelers.
Furthermore, Etihad has recently augmented its operational capabilities through a Joint Business Agreement with China Eastern Airlines, further strengthening its services within the lucrative UAE-China trade corridor. The airline also extended its collaboration with SF Airlines, aiming to enhance capacity, reduce transit times, and expand destination access, thereby catering to the growing demands of cargo operations in this key market.
Etihad Aviation Group’s CEO, Antonoaldo Neves, expressed his satisfaction with the airline’s performance, stating, “We are pleased to report a strong performance for the first nine months of the 2024 financial year, with revenue increasing by 21% and profit after tax increasing by 66% compared to the same period in 2023.” He emphasized that the stellar growth in both passenger and cargo revenues reflects the efficacy of the airline’s strategic initiatives, while improvements in customer satisfaction demonstrate a positive trajectory for future operations.
Despite challenges posed by a global shortage of aircraft, Neves noted that the operational fleet expanded to 95 aircraft, which is 16 more than the previous year. All six Airbus A321neo aircraft scheduled for delivery in 2024 are now in service, reinforcing Etihad’s commitment to investment in its fleet and infrastructure.
As Etihad Airways continues to navigate the evolving landscape of the global aviation industry, its successes in both passenger and cargo services paint a hopeful picture for the future, establishing it as a key player in the region’s aviation sector.
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Tags: #BusinessNews, #EconomyNews, #UAE
