Etihad Airways Reports Rise in Second Quarter Revenues to $1.25 Billion
By David Cogswell
July 05, 2012 10:15 PM
Etihad Airways reported a 31 percent increase in its second quarter revenues to S$1.25 billion compared to $957 million in the same quarter in 2012. Passenger numbers were 2.55 million in the second quarter, up 34 percent, and 4.89 million in the half year, thanks to increased overall capacity and improved seat factors.
Etihad said its record results were helped by the airline's growing network of codeshare agreements and strategic partnerships, which together fed 800,000 passengers into its network in the last six months, contributing $281 million.
During the quarter, Etihad also announced that it had purchased minority equity stakes in Aer Lingus and in Virgin Australia, adding to its minority shareholdings in airberlin and Air Seychelles. Together these five airlines carried 72 million passengers on 376 aircraft in 2011, generating combined revenues of more than $14 billion.
“These results are an endorsement of our strategy, which has seen us widen and deepen our partnerships in addition to continued focus on our organic growth plan,” said James Hogan, president and CEO of Etihad. “In a quarter when many airlines have seen demand softening, we have been able to add more passengers than ever before, with growth outstripping our capacity increases."
During the quarter, Etihad launched new routes to Basra and Nairobi and started a new Abu Dhabi-Lagos service on July 1, bringing its direct network of cities served up to 87. It also announced new codeshare agreements, which brought its total passenger network up to 308 destinations.
Last month, Etihad unveiled plans to launch daily flights to Sao Paolo in Brazil, its first South American destination, which will start in June 2013. The airline also continued to make considered investments in marketing, products and services, such as new lounges, the introduction of onboard chefs in its Diamond First class cabin and the launch of a global television advertising campaign to drive awareness of its brand and award-winning services.