Etihad Airways Announces A Profit

Etihad Airways has announced a profit for the 2023 calendar year following a lengthy turnaround phase aimed at improving the business.

Etihad Airways has published a USD 394 million operating result for the full year of 2023, based on a 40% increase in passengers year over year.

Ultimately, annual profits reached USD 143 million, a 472% increase from the 2022 calendar year and a massive improvement from the years before.

The result represents a continued positive development in the longwinded turnaround plan, which was sparked following losses reaching USD 1.87 billion in the mid-to-late stages of the 2010s.

Etihad Airways says that the strong performance seen across 2023 follows this strong turnaround plan, which is a success. Over the years, the airline has looked to sharpen its core business and focus on restructuring its fleet by bringing in the latest aircraft types to boost efficiency.

Additionally, the airline has focused intensely on streamlining and ensuring that its route network aligns with crucial demand areas and ultimately makes sense. These are essential factors, considering one of the primary reasons the downfall commenced was thanks to a rather uncalculated major expansion that the company wasn’t ready for in the end.

2023 Highlights For Etihad

Etihad Airways saw total revenue increase 11% to USD 5.5 billion, with passenger revenues reaching USD 16.7 billion, a rise of over a billion.

Cargo revenue, however, dropped similarly to what other operators have recorded. Etihad Airways reported a 38% drop over 2022 and said this wasn’t necessarily alarming as it mirrors the cooling global cargo rates.

Fourteen million passengers boarded Etihad Airways aircraft across the calendar year, which Etihad describes as remarkable growth. This represents an almost 50% increase year-on-year. To accompany the passenger increase, load factors also increased from 82% in 2022 to 86%.

The company’s load factors were a true standout point, as they highlighted that they were among the highest when compared to key competitors in the market. Etihad says this should be applauded and indicates their strong ability to not just grow but optimise their fleet and routes to ensure the right services are being loaded.

Network expansion was another huge factor in achieving higher passenger numbers, with the route network expanding towards 72 destinations. In 2024, this will increase with several new locations joining the airline portfolio and existing cities getting schedule increases.

Comments From Executives

A sincere thank you to our customers, as well as the Etihad family for giving flight to our ambition, and delivering the reliable, best-in-class service that is the hallmark of our operation. The team has continued to make our airline stronger and more efficient, while delivering extraordinary customer experiences.

His Excellency Mohammed Ali Al Shorafa, Chairman of Etihad Aviation Group

Daniel Fowkes
07 Mar 2024
· Airlines 

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