Summary
- El Al has operated in emergency mode, continuing to fly while most airlines have suspended flights to Israel in the course of the conflict with Hamas.
- The airline has made significant changes to its operations, increasing frequencies on certain routes and suspending flights to other destinations.
- El Al has focused on bringing Israelis stuck abroad and reserve soldiers back to Israel, while also adapting its cargo operations and anticipating changes in consumer behavior.
The conflict between Israel and Hamas just isn’t only having a distributive effect on general travel and flight bookings all around the world, but it surely has forced the Israeli flag carrier, El Al, to adapt its operations. While most airlines have suspended flights to Israel, El Al has continued flying- and has been adding extra seats to its flights to bring Israelis stuck abroad and reserve soldiers required to report for service back to Israel.
Emergency mode
Since Hamas’ brutal attack on Israel on October 7, 2023, El Al has stated that it has been operating in emergency mode because it reported a drop in third-quarter profit. El Al and fellow Israeli carriers Arkia and Israir proceed to operate flights and function a needed air bridge connecting Israel to Asia, Europe, and North America, as most foreign airlines have suspended flights to Tel Aviv as a result of the war and insurance reasons. The Israeli government has backed insurance for Israeli carriers to make sure they’ll proceed flying.
Photo: Mike Fuchslocher | Shutterstock
The flag carrier has made significant operation changes to take care of service for the reason that October attack. El Al has overhauled its route network, increasing frequencies to and from North America, Thailand, Paris, and London while suspending flights to other destinations. Through the first few weeks of the war, the airline added over 150 flights to assist people leave the country or to bring back security and rescue personnel, essential equipment, and medical teams.
El Al added that flights to Sharm El-Sheikh, Marrakshes, and Istanbul, among the flights suspended, may very well be ended entirely if demand from Israeli tourists doesn’t bounce back after the war. Moreover, they ended some seasonal routes early, including Tokyo Narita, Dublin, and Nice, they usually postponed recent flights to Delhi and Mumbai.
Furthermore, the airline has bolstered its cargo operation by adding flights as some cargo carriers have pulled back service and have transported essential equipment to Israel. They’ve also converted a Boeing 777-200 passenger aircraft for cargo use to make sure outside connections.
Photo: Dmitry Pistrov | Shutterstock
In an announcement to Reuters, El Al CEO Dina Ben-Tal Ganancia spoke about how the airline has adapted its operations:
“Nowadays, we now have a deep national responsibility towards the people and the country. We quickly adapted ourselves to emergency mode and made sure to take care of a stable and energetic flight schedule while taking good care of passengers’ safety and security.”
The airline hopes these changes will help stabilize its business after the war discouraged tourism to the region and compelled them to reroute flights from overflying hostile areas. Most foreign airlines have indefinitely suspended flights to Tel Aviv Ben Gurion International Airport (TLV) and aren’t expected to return before 2024.
Change in consumer behavior
Since October, El Al said consumer behavior has modified, with more travelers booking flights last minute as a substitute of booking flights months prematurely. Despite the halt in tourist traffic and vacation travel, many individuals still travel to go to family in Israel and abroad. As such, El Al doesn’t expect a substantial drop in passenger numbers within the fourth quarter. Total passenger traffic at Ben Gurion is down 80% from anticipated levels before the war. Nevertheless, El Al predicts only a 5-10% decrease in capability in the course of the current fourth quarter.
Photo: ChameleonsEye | Shutterstock
Regarding El Al’s third-quarter results, the airline reported revenue of $696 million, up 11% from 2022’s third-quarter revenue of $626 million. Nevertheless, net profit was $52.4 million, down from $66.8 million within the third quarter of 2022 when the airline sold its frequent-flyer club for $38 million. Lastly, the proportion of seats occupied was as much as 88.1% from 87.5% within the corresponding quarter.
What do you concentrate on how El Al has adapted its operations for the reason that war? Leave a comment and tell us.