Subscribe Free
in Business & Finance

Oman Air releases annual report showing worst loss since returning to long-haul

Posted 26 April 2017 · Add Comment

Oman Air has revealed in its annual report an operating loss of 80% to RO120 million ($312 million) last year, and a net loss of almost RO130 million.

The airline had been making a steady increase net profit up to 2007 but in the same year the Omani government changed its air transport strategy by withdrawing from multinational Middle Eastern carrier Gulf Air to focus on developing Oman Air.

This involved taking it under state control, and out of private ownership, in order to place the airline as a long-haul operator and modernise its fleet with Airbus A330s, and acquiring Boeing 787s.

But the airline has been unable to reverse its poor financial performance, and its 2016 net loss is the worst it has witnessed.

The company's 2016 annual report puts accumulated losses at RO817 million and states that, at the end of last year, its liabilities exceeded its current assets by RO192 million.

Chief executive Paul Gregorowitsch said: “ "We didn't reach our targets for 2016 but we have ambitious plans for the current year.”

He added net yield for the airline fell by 17% over the network owing to a number of external factors. He said: "Enhancing our fleet and network is the way to continue to stimulate demand and…stand out in an increasingly-crowded market place.”

* required field

Post a comment

Other Stories
Advertisement
Latest News

Baby booming…

As Saudi low-cost carrier, Flyadeal, approaches its first birthday, it is about to embark on a huge expansion programme, with a major order for new aircraft imminent. Alan Dron reports.

Emirates lands in Riyadh for National Day

Emirates yesterday operated a special one-off A380 service to Riyadh in celebration of the Kingdom of Saudi Arabia’s 88th National Day.

Oman Air supports Oman Ministry of Tourism ahead of Moscow route launch

Oman Air lent its support to the Oman Ministry of Tourism as it hosted a special Omani themed workshop aimed at promoting the Sultanate’s tourism stakeholders, to celebrate the upcoming Moscow service in October.

Emirates introduces two new ice TV channels

Emirates has launched two new ice TV channels dedicated to promoting the wide range of activities in Dubai and the UAE.

Qatar Airways GCEO tours Boeing Factory in Everett

Qatar Airways Group Chief Executive, Akbar Al Baker, toured the Boeing factory in Everett, Washington on Tuesday 18 September with Boeing Commercial Airplanes President and Chief Executive Officer, Kevin McAllister.

Qatar trains focus on huge upgrade

A major new training establishment is to be built in Qatar, as part of the support structure for the Gulf nation’s forthcoming massive build-up in military aviation assets. Alan Dron reports.

DomainH_SK2808161118
See us at
MarrakechAirshow BT2507241018Cargo BT1004091018GATM BT1004061118AIME19BTA3005120219BIAS BT271017161118MAPS18_BT1207131118MEBAA BT1004121218Istanbul Airshow BT22018ASDubai BT1004091018Aviation Africa BT0607280219