Summary
- Jazeera Airways recorded a 41% increase in passenger numbers in the primary half of 2023, reaching 2.1 million, due to latest routes and extra aircraft joining the fleet.
- While revenues were up by 26% operating profit fell by 5% to $30.38 million and net profit by 15% to $20.37 million.
- Jazeera Airways expanded its network by adding direct flights to numerous destinations, including Moscow, Samarkand, Larnaca, Shiraz, Belgrade, Tirana, Tivat, and Cairo.
Kuwaiti airline Jazeera Airways yesterday announced its financial results for the primary half of 2023 (1H 2023). With latest routes and extra narrowbody aircraft joining the fleet in the primary six months, the airline increased passenger numbers by 41% to 2.1 million.
In 1H 2023, Jazeera Airways (Jazeera) recorded total revenue of KD97.85 million ($317.8 million), a 26% increase in comparison with the primary half of 2022. Nevertheless, while revenues were up, profits were down, with operating profit falling by 5% to $30.38 million and net profit by 15% to $20.37 million. Jazeera explained that 1H 2022 profit was impacted by a one-off gain of $5.62 million from the airline’s sale and lease-back of engines.
More A320s are boosting revenues
Fleet data from Planespotters.net shows that Jazeera has 21 Airbus A320 family aircraft with a median age of seven.3 years. It has ten Airbus A320-200s and eleven A320neos, and throughout the second quarter added two A320-200s. The carrier said it could add one other three aircraft by the top of the present financial yr.
Photo: Jazeera Airways
Jazeera also announced it had ordered 2,000 of the world’s lightest aircraft seats to renovate its fleet. When the brand new seats are fitted each aircraft will lose around 1.2 metric tons of weight, thereby reducing fuel consumption and increasing passenger capability with an extra row of seats.
Jazeera capitalized on the strong demand for travel within the region and grew passenger numbers to 2.1 million in 1H, a surprising 41% year-on-year increase. The balance between capability and traffic also moved favorably, with the passenger load factor climbing to 78%, in comparison with 74% in 1H 2022.
Jazeera Airways Chairman Marwan Boodai said that travel demand is high, and he’s pleased to see that reflected within the increased passenger traffic and cargo aspects. He added:
“As we share our positive results for the primary half of 2023 we remain optimistic and assured of our performance. While doing so, we proceed to concentrate on maximizing our operational and financial performance through different products, services and initiatives in the perfect interests of all our shareholders, partners and customers.”
Spreading the network near and much
While adding more aircraft helped boost revenues, the airline also significantly expanded its network throughout the second quarter. Jazeera added direct flights to Moscow (Russia), Samarkand (Uzbekistan), Larnaca (Cyprus), Shiraz (Iran), Belgrade (Serbia), Tirana (Albania) and Tivat (Montenegro). It also became the primary Gulf Cooperation Council (GCC) carrier to fly direct from Kuwait to Sphinx International Airport in Cairo, which is Jazeera’s seventh destination in Egypt.
Photo: Jazeera Airways
Recently, it has also launched direct flights to Islamabad in Pakistan and Tehran in Iran. Around 130,000 Pakistani nationals live in Kuwait, and Islamabad is the third city within the country served by Jazeera, joining existing flights to Karachi and Lahore.
The low-cost carrier also began services to Tehran on July 14th and operates direct flights from Kuwait on Friday and Sunday. With the addition of the Tehran route, Jazeera is serving 64 destinations across the Middle East, Europe, Central and South Asia and Africa from its base at Kuwait International Airport (KWI). It intends so as to add additional destinations because the fleet grows this yr and can proceed to expand its network throughout the region and beyond.