KUWAIT - Jazeera Airways Group today announced a net profit of KD 3.9 million for the second quarter of 2013, making the first half (H1) of 2013 the airline’s most profitable first half in history. The company had previously announced a net profit of KD 3.6 million for the first quarter.
H1 2013 Highlights
- Revenue: KD30.8 million, up 9 percent from H1 2012
- Operating profit: KD9.5 million, up 48 percent from H1 2012
- Net profit: KD7.5 million, up 95 percent from H1 2012
- Flown passengers: up 4.1 percent from H1 2012
- Load factor: 70 percent, up 11.9 percent from H1 2012
H1 2013 Balance Sheet
- Hard assets of KD145 million
- Cash reserves of KD47 million, exceeding equity
- Equity improved by KD37 million since Q2 2012
Marwan Boodai, Jazeera Airways group chairman, said, “We started the year with the objective of building on last year’s momentum, and we’ve been successful so far as reflected in the first half financial, operational, and commercial results. We’ve carried more passengers than the same period of last year, with the average load factor exceeding targets while maintaining operational excellence. All together, this culminated in the impressive H1 results that were announced today. Our job is far from over and the team is working hard on closing yet another record-breaking year.”
Jazeera Airways operated the first half of the year with an average load factor of 70 percent and carried 4.1 percent more passengers than the same period last year.
Mid-year review and outlook
In the last six months, Jazeera Airways Group secured funding for the three remaining aircraft on an order of 15 A320s. The structured loan was led by Kuwait’s NBK and DVB Bank SE. As a result of the loan, the company has secured its financial commitments for the next two years.
In June, Jazeera Airways Group received a new Airbus A320 from the makers. To date, Jazeera Airways Group has taken delivery of 13 Airbus A320s since 2005, as part of an order for 15 aircraft of the same type. The remaining two aircraft of the order are scheduled to be delivered in October 2013 and May 2014.
On the aircraft leasing side, the group’s 100 percent owned aircraft leasing subsidiary placed an Airbus A320 aircraft with Saudi Arabia-based NAS airlines. Sahaab Aircraft Leasing also has aircraft placed with Virgin America and SriLankan Airlines.