Kuwait National Airways Co. Reports 2009 First Half Year Results
The young airline is optimistic following very good reception in the market
Kuwait National Airways Company (KNA) announced today losses of KD 5.9 million, or 12.07 fils per share for the first half of 2009. Wataniya Airways, the country’s newest premium service airline which officially started its flight operations on 24th of January 2009, is part of Kuwait National Airways Company and was listed on the Kuwait Stock Exchange on 15 December 2008.
In one of the most challenging years in aviation history, with the International Air Transport Association (IATA) forecasting industry losses of USD 9 billion, Wataniya Airways has managed to attract a growing number of loyal and delighted guests. In the second quarter of 2009 the young airline posted volume growth of 82% against capacity growth of 75%. In the difficult economic environment yields remain under pressure and below expectation, yet Wataniya Airways has quickly risen to become the premiere choice for many travelers in Kuwait.
“To us, this is remarkable,” said Chairman and Managing Director of KNA Abdulsalam Al Bahar about the reaction Wataniya Airways has been getting since its inauguration. “We are humbled by the way the airline have been received by the public, our guests have truly embraced the Wataniya Airways travel experience and that adds to our responsibility of perfecting it,” adding that the half year results are expected as the airline has only been in operation for six months and, as normal, has incurred initial startup and product investment costs.
“We believe the best of Wataniya Airways is yet to come in terms of better results and the continuing development of our premium services,” said Al Bahar.
Al Bahar noted that the airline is fully aware of the challenges that face the aviation industry, saying “However, we are confident that we have the right product and a growing base of loyal guests who have demonstrated their commitment to the airline throughout the past month.” Al Bahar went on to say “we have indicators that are cause for optimism, such as the rapid increase in revenue we’re witnessing and the performance of our subsidiaries; United Projects for Aviation Services (UPAC) and Royal Aviation. And we believe that those indicators along with the support of the Kuwaiti authorities, namely the Directorate General of Civil Aviation for advocating a healthy and competitive aviation sector in Kuwait.”
Wataniya Airways is expected to commence operations to Jeddah route in Ramadan upon receiving all government approvals, thus expending its destinations to eight in the region. In October 2009, the airline will take delivery of its fourth Airbus A320.
