Summary
- Oman Air plans to focus on a single widebody aircraft type for efficiency and financial sustainability.
- The airline has reduced losses by 36% and increased revenues by 30% in the fiscal year 2023.
- Oman Air has orders for more Boeing 787s.
Oman Air has revealed its intention to narrow its fleet down to just one widebody aircraft type by the end of its complex and lengthy restructure, scheduled to be completed in 2027.
This comes following recent news that Oman Air will be downsizing its network and reshuffling its fleet in an attempt to cut losses and climb to financial independence from the government or sovereign.
A single widebody
Oman Air’s Chairman, His Excellency Said Hamood Al Maawali, told the Daily Observer that part of its transformation plan included fleet consolidation to a single aircraft type. He said:
“Going forward, as a policy, as an airline, what is good is widebodies. We should focus more on efficient widebody aircraft, but for the time being we are rightsizing and repositioning the company.”
Rightsizing indeed: Oman Air recently abruptly withdrew its entire Airbus A330 fleet from service as part of its attempt to improve its financial situation. Thus far, the planes that have been retired include four A330-200s and six A330-300s. Al Maawali added:
“By 2027, Oman Air will be a healthy company and will be ready for growth. For now, we should focus on filling the seats and improving the yield for this period to make sure that there is good financial sustainability for the aircraft and the airlines.”
The carrier still has two A330-200s and three A330-300s in its fleet, all of which are being leased to Qatar Airways.
Reducing its losses
Photo: Vytautas Kielaitis | Shutterstock
Oman Air recently reported that it had slashed its losses by about 36% in fiscal year 2023 (compared to the same period last year). In addition, the carrier highlighted that it had increased its revenues by 30%, with the load factor increasing by 9 percentage points.
Other achievements for FY 2023 include hitting the six million passenger mark and, more notably, cutting costs across areas that are deemed non-essential. This includes its sponsorship of Premier League football club Chelsea FC which it terminated.
“The banks are ready to lend to us again. We are moving in the right direction.”
Other measures the airline has taken to reduce its costs include the downsizing of its network, which saw significant cuts, particularly affecting destinations in the Indian subcontinent including in Pakistan, India, Bangladesh and Sri Lanka.
The outstanding orders
Oman Air currently operates a fleet of more than 30 aircraft, comprising Boeing 737s, Boeing 787s, and the Airbus A330s, which are on lease to Qatar Airways. The airline holds orders for an additional five Boeing 737 MAX 8’s and nine Boeing 787-9s.
Related
Oman Air Seeks Boeing 737-900ER Aircraft Retirement By 2025
The five aircraft will be given a new home with an ultra-low-cost carrier.
It is unclear whether the Omani carrier intends to take on its outstanding orders, considering its plan to ultimately operate a single aircraft type. While unconfirmed, it is expected that Oman Air will turn exclusively to the Boeing 787, given its apparent distaste for the older, less-efficient Airbus A330s and its new focus on widebodies. It currently has two Boeing 787-8s and seven Boeing 787-9s in service.
