Sharjah’s Air Arabia breaks profit record as travel demand soars

Sharjah: Air Arabia has reported its strongest financial performance to date, posting a record pre-tax net profit of Dh1.8 billion for the year ending December 31, 2025.

The figure marks a 14 per cent increase compared with Dh1.6 billion a year earlier. Annual revenue rose 15 per cent to Dh7.78 billion. The airline carried 21.8 million passengers across its network in 2025, up 16 per cent year on year.

Air Arabia expanded from its six operating hubs and launched 30 new routes during the year. Overall capacity increased by 10 per cent.

Average seat load factor — a measure of how full flights are — improved to 85 per cent, up four percentage points from 2024.

During the fourth quarter, Air Arabia recorded a net profit of more than Dh405 million, up 15 per cent from the same period last year.

Quarterly revenue climbed 26 per cent to Dh 2.12 billion. The airline carried more than 5.7 million passengers between October and December, while load factor reached 87 per cent.

The Board of Directors has proposed a cash dividend of 30 fils per share, equivalent to 30 per cent of the share capital. The payment remains subject to shareholder approval at the upcoming Annual General Meeting.

Sheikh Abdullah Bin Mohamed Al Thani, Chairman of Air Arabia, said, “Air Arabia delivered its strongest performance ever in 2025, driven by disciplined execution of our growth strategy and the continued trust our customers place in our value-driven product offering.”  

He added, “We delivered sustainable profitability while expanding our network, optimising capacity, and enhancing operational efficiency. These results reflect the robustness of our business model and the commitment of our leadership team.”

Al Thani added, “Despite a challenging operating environment in 2025, marked by geopolitical tensions across the region as well as continued inflationary and supply chain pressures, we remained disciplined and focused on operational efficiency, business flexibility, and delivering exceptional value to our customers.”

He added: “At the same time, we advanced our strategic priorities through continued investment in fleet expansion and network growth, positioning Air Arabia for its next phase of sustained success.”

Nine Airbus A320 family aircraft joined the fleet in 2025, including five new A320neo jets. By year end, Air Arabia operated 90 Airbus A320 and A321 aircraft, excluding additional short-term leased planes used during peak seasons.

With the addition of 30 routes, the airline’s network grew to 219 destinations across the UAE, Morocco, Egypt and Pakistan.

Air Arabia ended the year with Dh5.3 billion in cash and cash equivalents.

The carrier maintained its MSCI ESG “AA” rating and improved its S&P Global score. It also received a CDP rating of “B-” for its carbon reduction strategy.

Al Thani said: “We remain confident in the resilience and agility of the business model we follow. Our diversified hub structure, disciplined cost management, and strong balance sheet provide a solid foundation to capitalise on emerging opportunities while effectively managing market volatility.”

“Looking ahead, we are firmly focused on executing our growth strategy by further strengthening our multi-hub operation, expanding our global network, and increasing capacity across high-demand markets. In parallel, we continue to optimise fleet utilisation and drive efficiency, improve customer engagement, and support sustainable long-term growth.”