Air Arabia posts dip in second quarter profit amid continued growth

Air Arabia has reported a net profit of 415 million dirhams ($113 million) for the second quarter of 2025, down 3% from 427 million dirhams ($116 million) in the same period last year, as the airline continued to expand its route network despite regional disruptions.

Revenue rose 2% on the same period of the prior year to 1.69bn dirhams ($460 million) for the three months ending June 30.

The airline carried over 5.1 million passengers across its operating hubs during the quarter, a 15% increase from the 4.5 million recorded during the second quarter of 2024. Seat load factor averaged at 85%, up from 79% a year earlier.

“The strong performance recorded during the second quarter of this year reflects the resilience of our business model and the effective execution of our growth strategy,” said chairman Abdullah Bin Mohammad Al Thani. “Despite escalating geopolitical tensions and regional conflict, which disrupted operations and led to flight cancellations, we responded with agility and efficiency.”

For the first half of 2025, Air Arabia reported a net profit of 770 million dirhams ($209 million), up 11% from 693 million dirhams ($189 million) in the first six months of 2024.

Revenue rose 8% to 3.44bn dirhams ($936 million). Passenger numbers across all hubs grew 13% on last year to 10.1 million, while average seat load factor reached 84%.

During the six-month period, the airline added 13 new routes across its hubs in the United Arab Emirates, Morocco, Egypt, and Pakistan, and expanded its fleet by two aircraft, bringing the total to 83 A320 and A321 aircraft.

Air Arabia expects deliveries to begin later this year from a 120-aircraft order placed with Airbus.

Al Thani said the carrier remains focused on expanding connectivity and operational efficiency in the second half of the year, amid ongoing industry headwinds including fuel price volatility, supply chain constraints, and political instability in some markets.