Etihad alliance partners report strong results

Abu Dhabi: Etihad Airways announced that the first year of its alliance strategy with five equity partners have shown strong financial performance.

Etihad’s alliance with Air Seychelles, Air Berlin, Virgin Australia and Aer Lingus has shown strong financial performance and profits. The success was a result of a number of procedures, including increasing air traffic between the networks and companies’ destinations thanks to codeshare agreements, and success in the implementation of joint-marketing and sales programmes, as well as the utilisation of wide avenues of cooperation in terms of work and cost.

James Hogan, Etihad Aiways President and Chief Executive, said that each partner of the alliance has demonstrated strong financial performance and profit growth.

Etihad Airways announced revenues of $170 million, excluding interest and tax. Net profit amounted to $42 million.

Air Berlin, in which Etihad owns a 29.21 per cent stake, announced operational revenues of 70.2 million euros in 2012. Air Seychelles, in which Etihad had acquired a 40 per cent stake along with a five year management contract, reported net profits of $1 million. This is the first time the company has recorded a profit since 2007.

Virgin Australia, in which Etihad owns a 9 per cent stake, announced a profit of 23 million Australian dollars in 2012, while Aer Lingus, in which 2.987 of shares are owned by Etihad, reported operational revenues of 69.1 million euros, a 40.7 per cent increase. Aer Lingus also reported net profit of €40.6 million.