Etihad Announces Operating Profit Of $394 Million For Full Year 2023

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Summary

  • Etihad Airways saw a $394 million operating profit in 2023, with passenger revenue increasing by $1.1 billion.
  • The airline carried 40% more passengers last year, reaching a total of 14 million, with an overall load factor of 86%.
  • Etihad added 15 new destinations in 2023 and 14 aircraft, including four Airbus A380s.

Etihad Airways has revealed key figures for 2023, including overall revenue, profits, and new destinations, among others. The carrier made significant improvements in passenger business profitability as it attracted many more passengers last year than in 2022.

$394 million operating profit

Etihad’s full-year 2023 results reveal a $394 million operating profit as its overall passenger revenue increased by $1.1 billion compared to 2022. The airline carried 40% more passengers last year due to robust demand for travel, with the overall load factor crossing 85%. Antonoaldo Neves, Chief Executive Officer of Etihad Airways, commented,

“… The execution capability of the Etihad team is outstanding, and it’s thanks to their relentless hard work that we have been able to achieve these results. I am confident we have the best team in the world. This accomplishment underscores our commitment to sustainable, profitable growth, robust cost control and operational efficiency …”

Etihad Airways Boeing 787 on the runway at Munich Airport MUC shutterstock_1841246173

Photo: Markus Mainka | Shutterstock

Key figures

Etihad’s total revenue for 2023 was $5.5 billion, an 11% increase from the previous year. Of this, passenger revenue was $4.5 billion. Cargo revenue slipped by 38% to $914 million as the airline could not replicate the massive freight performance of 2022 amid an overall increase in cargo capacity around the world.

With an operating profit of $394 million, the carrier made a net profit of $143 million, suggesting a robust post-COVID passenger recovery. Etihad flew 14 million passengers in 2023, with an overall load factor of 86%, compared to 82% in 2022.

While its profits were driven by increased passenger revenue, reduced Cost per Available Seat Kilometre (CASK) and CASK, excluding fuel, also helped greatly.

Etihad Airways Boeing 777

Photo: Lukas Wunderlich | Shutterstock

In 2023, Etihad announced or started operations to 15 new destinations: Boston, Lisbon, Malaga, Nice, Dusseldorf, Copenhagen, Mykonos, Santorini, St Petersburg, Nairobi, Kozhikode, Thiruvananthapuram, Kolkata, Bali and Osaka, although four destinations were present in 2022 but not in 2023.

The airline also added 14 aircraft, including four Airbus A380s, last year, and its passenger widebody fleet comprised 78% new-generation aircraft, one of the highest ratios in the industry.

Developments in 2024

Etihad has already had several developments in 2024. It received three new Boeing 787 Dreamliners in February, further increasing its fleet’s share of latest-generation fuel-efficient planes. Etihad flies these planes to several destinations, including as far as Australia and the US.

The airline also made changes to its frequent flyer program, which will be relaunched in June, and recently opened its second US airport lounge with Chase at Washington Dulles for premium passengers and Chase credit card holders.

Etihad Airways Boeing 787-9 landign at Athens Airport ATH shutterstock_1455775964

Photo: Nicolas Economou | Shutterstock

There are reports that Etihad could go public with an IPO and become the first publicly traded airline in the Gulf if listed. ADQ, an Abu Dhabi state-controlled sovereign wealth fund that owns Etihad, is said to be exploring the possibility of listing the carrier. If that happens, it could boost the company’s visibility significantly.

Related


Etihad Adds Antalya And Jaipur To Its Network Amid Summer Expansion

The airline is also increasing frequencies to other destinations.

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  • Etihad Boeing 787-9

    Etihad Airways

    IATA/ICAO Code:
    EY/ETD

    Airline Type:
    Full Service Carrier

    Hub(s):
    Abu Dhabi International Airport

    Year Founded:
    2003

    CEO:
    Tony Douglas

    Country:
    United Arab Emirates



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