Etihad Airways Passenger Revenue Exceeds US$1 Billion
Etihad Airways continued to achieve record growth in the third quarter of 2013, with revenue from passenger services exceeding US$1 billion for the first time and passenger numbers passing 3 million.
Total revenue rose 11 percent to US$1.4 billion, compared to US$1.3 billion in Q3 of 2012, while network-wide passenger load factors reached 81 percent.
Passenger revenues increased by 10 percent in Q3 2013, to just over US$1.03 billion (2012: US$938 million), while cargo revenue was up by 39 percent to US$244 million (2012: US$176 million).
Revenue from codeshare and equity alliance airline partners was US$247 million in Q3 2013, 36 percent higher than the US$181 million delivered in Q3 2012. Partnership contributions accounted for 23 percent of total Q3 passenger revenue, while passenger numbers rose by 11 percent to 3.06 million (2012: 2.75 million).
The president and chief executive officer of Etihad Airways, James Hogan, said the Q3 growth occurred in a climate of increasing capacity and ongoing price competition. It also compensated for reduced travel during the Holy Month of Ramadan, which fell across the traditional peak travel months of July and August.
“In addition to our own growth in Q3, we continued to develop our partnership strategy,” Mr. Hogan said.
“Headlining our partnership activities, we continued to work closely with regulatory authorities in India as we progressed our plans to acquire 24 percent of Jet Airways – the first offshore investment in an Indian airline under the country’s Foreign Direct Investment legislation,” he said.
Etihad signed an agreement with the Government of Serbia to enter into a five-year contract to manage Serbia’s national airline, Air Serbia, currently trading as Jat Airways, and integrated its frequent flyer program with the airline’s own Etihad Guest.
In addition, Etihad increased its stake in Virgin Australia from 10.5 to 17.4 percent, and launched partnerships with South African Airways, Air Canada, Belavia and Korean Air, taking to 46 its number of codeshare agreements and expanding its virtual network to 375 destinations.