Jazeera Airways Reports Financial Results for 1Q 2024
30/04/2024 12:00:00 am- Group revenues at KD 46.4 million
- 1.2 million passengers handled
Kuwait, 30 April 2023
Jazeera Airways, in the first quarter (1Q) of 2024 recorded a break even in operations, and reported a net loss of KD 2.7 million. This was mainly due to the impact of foreign currency losses of KD 2.5 million. The total group revenue for this quarter was KD 46.4 million versus KD 48.3 million from Q1 2023.
Jazeera Airways handled 1.2 million passengers in 1Q 2024, an increase of 4.2% or approximately 47k passengers more vs 1Q ‘23. Load factor was at 79.3% while Jazeera Airways’ network market share increased to 37.3% vs 36.1% in 1Q 23. The retail lease revenue for Terminal 5, owned and managed by the airline increased to KD 378k. Duty free business grew by 5.4% over 1Q ‘23 to KD 1.2 million.
Marwan Boodai, Chairman, Jazeera Airways said: “Jazeera Airways, time and again, has demonstrated strong resilience through several unique situations. Last year, headwinds driven by overcapacity, combined with a tough regulatory, geopolitical, and regional landscape put pressure on our year end results. In 1Q 2024, our operations remained steady, yet we recorded a loss impacted by foreign currency fluctuations. However, by staying focused on controlling our operational costs and, nimble and agile to market conditions, we are well positioned to grow in summer and to navigate 2024.”
Financial and Operational Highlights
1Q 2024 Highlights:
- Operating revenue: KD 46.4 million, down 4.1% from 1Q’23, up 18.3% from 4Q ‘23
- Operating profit: KD 1.3million, down 64.6% from 1Q’23, up by 120% from 4Q ‘23
- Net loss: KD2.7 million, down 216.5% from 1Q’23, down by 62.2% from 4Q ‘23
- Passengers: 1.2 million, up 4.2% from 1Q’23, up by 0.7% (1.14m) from 4Q ‘23
- Load factor: 79.3%, down 2.7% from 1Q ‘23, up by 3.5% from 4Q ‘23
- Yield: KD 37.43, down 8.9% from 1Q ‘23, up by 17.7% from 4Q ‘23
First Quarter 2024 Review
In the first quarter of 2024, Jazeera Airways welcomed a new Chief Executive Officer, Barathan Pasupathi (Bara), a veteran in aviation and finance with vast experience in heading a budget carrier. The airline also announced the launch of direct flights to Batumi, Georgia scheduled to start from 14 June 2024. Other destinations are also scheduled to resume operations for the summer season. These include Antalya, Beirut, Bodrum, Larnaca, Prague, Sarajevo, Salalah, Sharm El Sheikh, Tirana, Tivat, and Trabzon.
2024 Outlook
With the launch of upcoming summer destinations, Jazeera covers close to 63 destinations across the Middle East, Central and South Asia, Africa, and Europe.
Growth, both financial and operational, remains on top of the agenda for Jazeera Airways. This is supplemented by continuous enhancements to products, services, and Jazeera Terminal 5.