Air Arabia's Q4 profit plunges 90 per cent
The carrier served 4.4 million passengers from its hubs in 2020
Dubai: Air Arabia, the Sharjah-based low-cost carrier, reported a loss of Dh192 million for the full year ending December 31, 2020.
The airline reported a net profit of Dh20 million during the fourth quarter of 2020, down 90 per cent from the same period a year earlier.
The company’s turnover for the full year 2020 was Dh1.85 billion, and a total of 4.4 million passengers were served from all five hubs.
"The early measures taken by the management team to control overall cost and the gradual resumption of flights, albeit to a limited number of destinations, helped in achieving profits in the fourth quarter and in significantly reducing the net loss for the full year, " said Abdullah Al Thani, Chairman of Air Arabia.
"While the year 2021 continues to be a challenging one for the industry, we remain confident about the fundamentals of the aviation sector and the vital role air travel will continue to play in economic recovery," he added.
The year 2020 witnessed the launch of Air Arabia Abu Dhabi, which was formed following an agreement by Etihad Airways and Air Arabia to establish the capital’s first low-cost carrier. The first Air Arabia Abu Dhabi flight took off to Alexandria in July and was followed by the launch of eight additional routes from Abu Dhabi International Airport.
Air Arabia added a total of 14 new routes to its global network in 2020 from its operating hubs in the UAE, Morocco and Egypt.