Abu Dhabi's Etihad Airways flies into profit beating 'break even' target

Etihad Airways soars into profit, racking up net profit of $14 million for 2011, as more passengers choose the emirate's national airline.
Etihad Airways has made a profit of $14 million from last year's operations. (Silvia Razgova / The National)
Etihad Airways has made a profit of $14 million from last year's operations. (Silvia Razgova / The National)

Etihad Airways today beat its 2011 target to break, racking up net profits of $14 million (Dh51.4m).

"This is an historic day for Etihad and an amazing achievment for an airline just eight years old," said James Hogan, president and chief executive of Etihad.

"Five years ago we said we would be profitable by 2011. Despite the global financial crisis, continued high oil prices, regional instability and natural disasters, we have delivered."

The national airline of Abu Dhabi reported a full year earnings before interest and tax of $137m, on revenues up 36 per cent to $4.1bn.

The results include earnings before interest, tax, depreciation, amortistation and rentals of $648m, with a net profit of $14m.

"We will aim for strong growth again in 2012, in spite of the tough global economic environment, with a passenger traffic target of 10 million and a corresponding increase in profits," said Mr Hogan.

The airline transported 8.3m passengers last year, up 17 per cent from the year before.

The average seat factor, how full each plane was, was 75.8 per cent. That compares with 74 per cent cent the year before.

Etihad Crystal Cargo revenues were up 25.7 per cent to $651m on tonnage from the year before.

The airline also made its first equity investment in another carrier - airberlin, Europe's sixth largest airline. The deal was announced in December.

Published: February 9, 2012 04:00 AM

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