Business | Aviation
RJ rakes in JD533m in revenues during the first nine months of 2008
Royal Jordanian realised a gross profit of JD24 million and incurred a net loss of about JD2 million, according to the financial results of the company for the nine months ending in September 2008.
- Staff Report
- Published: 13:35 November 2, 2008
Dubai: Royal Jordanian realised a gross profit of JD24 million and incurred a net loss of about JD2 million, according to the financial results of the company for the nine months ending in September 2008.
The company's Board of Directors approved the financial results, in a recent session chaired by Vice Chairman Faris Sharaf.
Sharaf said the results were achieved despite the soaring jet fuel prices, which made the company pay a much higher fuel bill this year, amounting to JD221 million, a 92 per cent increase over last year's bill.
RJ President/CEO Samer Majali pointed out that the company registered a large increase in the operational revenues, which amounted to JD533 million, a 34 per cent increase over the same period last year.
This increase resulted from an 18 per cent growth in the number of passengers, which reached 2 million this year, an increased seat factor, from 71 per cent to 73 per cent, and a 14 per cent increase in passenger yield, mainly due to the increase of prices of tickets to partially offset the increase in jet fuel prices.
Majali added that the air freight revenues grew by 20 per cent in comparison to last year's first nine months, to reach JD32 million, as a result of an 18 per cent growth in the uplifted cargo, in addition to a 12 per cent increase in cargo yield. This growth was generated in spite of the sharp competition from air and marine shipping companies, and of the increase in jet fuel prices.
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