Dubai: Low-cost carrier Air Arabia announced on Sunday a 52 per cent drop in first-quarter profit, compared to the same period the previous year.
The Sharjah-based airline had net profits for the first quarter of 34 million dirhams for the three months ending March 31, 2021. The airline made a profit of 71 million dirhams in the first quarter of 2020.
More than 1.3 million passengers traveled with Air Arabia between January and March 2021 across the airline’s five hubs, while the average seat load factor for the airline – or passengers carried as a percentage of available seats – was 77 per cent.
“We are proud that Air Arabia managed another quarter of profit despite the continuing impact of the COVID-19 pandemic on the aviation industry worldwide – this is a testament to the company’s strong activity and its management team,” said Abdullah Al-Thani, Chairman of the Board of Directors. Arabia Airlines.
He added, “Despite the continued tight restrictions on air travel in the first quarter of this year, the gradual resumption of selected destinations along with the cost control measures adopted by the company helped achieve profitability during the first quarter of this year.”
While the resumption of flights during the pandemic remains subject to changing travel restrictions and regulations, Air Arabia resumes operations to a specified number of destinations via its five hubs in the United Arab Emirates, Morocco and Egypt.
The company said in a statement that the limited resumption of flights across the various markets helped support the financial and operating performance of the first quarter.
“While we still hope to ease restrictions on air travel with an increase in the rate of vaccination campaigns in key markets, Air Arabia remains focused on adopting more measures to control costs and support business continuity during this period while we continue to resume operations where possible,” the head of the carrier said. .
Better than Q4
Like most airlines, Air Arabia has a bleak year 2020. The airline reported a loss of 192 million dirhams for the full year.
Meanwhile, net profit for the fourth quarter was 20 million dirhams, down 90 percent from the same period of the previous year.
More to track …
Bulletin Observer Business News
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