Qatar Airways posts $1.7bn in full-year profit on robust travel demand

Qatar Airways said on Tuesday that its full-year profit jumped by 39 per cent to $1.7bn (QAR6.1bn), driven by robust demand for international travel as the industry continues to rebound from the impact of challenges faced in recent years.

The state-owned airline, which only operates international services, said that its 2023/24 revenues rose by 6 per cent or QAR4.7bn to a record QAR81bn.

“Passenger revenue increased by 19 per cent, with a capacity increase of 21 per cent,” the airline said in a statement. Qatar Airways has enjoyed huge passenger flows through its hub in Doha. It carried more than 40 million passengers, an increase of 26 per cent from the previous year, while its load factor stood at 83 per cent.

“Our continued focus on profitability, efficiency and customer experience have been underpinned by a strategic programme of network growth and fleet expansion, resulting in the highest revenues and profit margins in the history of the airline,” said Badr Mohammed Al-Meer, the airline’s group CEO.

Qatar Airways Group, which runs Qatar Airways, Qatar Executive, MATAR, and Al Maha, reported earnings before interest, taxes, depreciation, and amortisation (EBITDA) margin of 24 per cent at QAR19.1bn, around QAR1.2bn higher compared to the previous year.

Qatar Airways Group reveals the strongest financial results in its 27-year history, reporting record profits of US$1.7 billion (QAR6.1 billion) during the 2023/24 financial year. pic.twitter.com/8MMlS7vkXl

— Qatar Airways (@qatarairways) July 2, 2024

The airline’s network grew to more than 170 destinations in 2023/24, adding Al Ula, Neom and Tabuk in Saudi Arabia, Lyon and Toulouse in France, Medan in Indonesia and Turkey’s Trabzon throughout the year.

The network expansion is in addition to the resumption of operations to 14 destinations, including Bahrain, Birmingham, Beijing, Chengdu, Chongqing, Davao, Tokyo Haneda, Osaka, Marrakesh, Nice, Penang, Phnom Penh, Ras Al Khaimah, and Yanbu.

Meanwhile, Qatar Airways is in talks with plane makers Airbus and Boeing for a major wide-body order.

The airline is reportedly in talks to acquire about 20 per cent of Virgin Australia Airlines and a majority stake in RwandAir. The Doha-based aviation giant is the biggest shareholder of British Airways owner IAG, and owns around 10 per cent of Hong Kong-based Cathay Pacific and Latam Airlines Group.

Read: Qatar Airways in talks with Airbus, Boeing for ‘triple digit’ plane order