Dubai-based budget carrier flydubai has posted a record pre-tax profit totalling $674 million in 2024, up 16% in comparison to results from the year prior. This was driven by lower fuel costs and strong passenger demand.
Revenue for the year rose to $3.5bn, marking an increase of 15% compared to $3bn that was generated during 2023. EBITDA totalled $1.1bn, an increase of 15% on the previous year.
The airline said this performance reflects its focus on operational and cost efficiency, digitalisation and ongoing investment in enhancing customer experience.
flydubai reported that fuel costs for the year accounted for 28% of total operating costs, compared to 32% in 2023, due to a lower average fuel price. The airline ended the year with $1.3 billion in cash and bank balances, including pre-delivery payments.
“Our record-breaking financial performance, for the fourth consecutive year, demonstrates our continued ability to grow our business and navigate difficult economic and geopolitical challenges through forward planning, drawing on our strength to adapt and evolve to the changing market and customer needs,” said Ghaith Al Ghaith, chief executive officer at flydubai.
Operationally, the airline carried 15.4 million passengers in 2024, up 11% compared to 2023. Capacity measure in available seat kilometres (ASKs) rose 10%, while the passenger load factor improved by 1.2 percentage points.
By the end of the year, flydubai’s fleet comprised of 88 aircraft, with an average fleet age of 5.3 years. Four 737 MAX 8 aircraft were delivered in the first half of 2024, which were part of an order backlog from previous years, the airline said.
flydubai did not receive any aircraft that were contractually scheduled to be delivered in 2024, with the airline citing ongoing challenges with Boeing’s delivery schedule. In response to this, the carrier extended leases of four 737-800 aircraft which were scheduled to be returned to the lessors during the 12-month period.
flydubai’s current order book stands at 127 737 aircraft to be delivered over the next decade in addition to 30 787 aircraft, the first of these widebody aircraft is expected to be delivered in 2027.
Looking ahead, the airline said that its strategic plans are “highly influenced by the manufacturer’s ability to deliver on their promise to bring the aircraft delivery schedules back on track and clear the backlog”.
flydubai expects to receive 12 new 737s in 2025, replacing some of its existing aircraft in order to support network expansion plans.
Tags:
Flydubai