Subscribe Free
in Business & Finance

RJ announces profitable first half year

Posted 31 July 2019 · Add Comment

Royal Jordanian (RJ) President/CEO Stefan Pichler held a press conference at the head office of RJ today in which he presented the airline's financial and operating results for the first half of 2019.

 

The results show improved key performance indicators and a growth in the gross profit and net operating profit, progress achieved because of the measures taken as stipulated in the turnaround plan that the company has been implementing since the second half of 2017.

The CEO said that in the first six months of 2019, Royal Jordanian flights saw a 1% increase in the number of passengers, compared to the same period of 2018, and a seat load factor that grew from 72.8% during the said period last year to 73.1%.

Pichler also said that the company's operating revenues grew from JD312.1 million in the first half of 2018 to JD316.3 million in the comparison period of this year, a 1% increase, while the company was able to reduce operating costs by 5%, going down from JD277.4 million in the first six months of last year to JD264 million for the same period of 2019.

He pointed out that the increase in revenues, and the lower costs and 5% lower fuel bill led to registering JD3.4 million profit from continuing operations against JD(11.1) million loss for the comparison period. RJ also recorded a JD52.2 million gross profit against JD34.8 million in the first half of 2018, a 50% increase. Thus, the airline registered a JD1.5 million net profit after tax in the first half of this year, against a net loss of JD(12.7) million in the same period of last year.

Pichler attributed the improved results, year after year, to the hard work and dedication of all employees who endeavoured to reduce expenses and improve revenues, and to the company's enticing offers throughout the year, which proved attractive to travellers. RJ staff also strove to improve ground and air services, enhance online sales of tickets and various other products and travel extras offered to travellers by RJ, in addition to improved services in air freight and incentives to members of the frequent flyer program.

Online sales grew from JD39.8 million in the first half of 2018 to JD40.2 million in the same period this year. Sales of travel extras increased by 17%, from JD8.5 million to JD10 million, and the revenue of the loyalty program grew by 44%, whereas the Cost per Available Seat-Kilometer (CASK) decreased by 3%.

 RJ CEO Stefan Pichler today.

 

* required field

Post a comment

Other Stories
Advertisement
Latest News

Pakistan and India Independence Days celebrated at Abu Dhabi International Airport

Visitors to Abu Dhabi International Airport (AUH) from Pakistan and India were greeted by the green, white and saffron colours of their national flags, and steaming cups of Karak chai, to commemorate the Independence days of the two

Embraer releases second quarter results

Embraer delivered 26 commercial and 25 executive (19 light and 6 large) jets during 2Q19, compared to 28 commercial jets and 20 executive (15 light and 5 large) jets in 2Q18.

Abu Dhabi Airports completes preparations for the return of Hajj pilgrims

Abu Dhabi International Airport has completed preparations for the return of the Hajj pilgrims from Mecca and Medina over the upcoming weekend.

Air Arabia posts record second quarter net profit of AED 210 million

Air Arabia has recorded strong financial and operational results for the second quarter of this year ending June 30, 2019 as the Middle East and North Africa’s first and largest low-cost carrier continued to deliver robust and sustained

Abu Dhabi welcomes one of the first flights from the new King Abdulaziz International Airport

Abu Dhabi International Airport (AUH) welcomed the Saudi Arabian Airlines (Saudia) flight from the new King Abdulaziz International Airport (KAIA) in Jeddah on Saturday 10th August. As one of the first international flights from the

Embraer Praetor 600 Business Jet outperforms on certification

Embraer has said that the company’s new Praetor 600 super-midsize business jet was granted its Type Certificate by Brazil’s Civil Aviation Authority (ANAC—Agência Nacional de Aviação Civil), having been announced in October 2018 at

TAA SK0907311219
See us at
MEBCONBT1607240919Dubai AS BT2006211119BIDEC BT0108301019MEBAAMORBT2006260919DIAC19_BT264161119AVAFA20BT2607050320