Kuwait's Jazeera says planning new planes order in 2014

Chairman Marwan Boodai says announcement on fleet upgrade to be made by August
Kuwait's Jazeera says planning new planes order in 2014
Marwan Boodai, chairman of Jazeera Airways.
By Andy Sambidge
Tue 28 Jan 2014 04:46 PM

Kuwait-based Jazeera Airways Group on Tuesday announced plans to place a new aircraft order this year as part of its strategy to modernise its fleet.

Chairman Marwan Boodai revealed plans to upgrade, adding that the name of the plane manufacturer would be announced in the next six to eight months.

"Our business is based on operating new and modern aircraft at all times and we look forward to making an announcement about our fleet modernisation programme, including the selected manufacturer, in the next six to eight months."

His comments came as the airline posted a net profit of KD16.7 million ($59.1 million) for 2013 despite ongoing regional political unrest and fuel price volatility.

Full-year net profit rose by nearly 20 percent compared to the previous year while revenue increased by 4.7 percent to KD65.6 million.

Boodai said: "The year 2013 was an eventful year. In addition to sustaining good results for three years in a row, we were able to secure our funding for three aircraft, essentially closing our lending requirements for two years, we were able to reduce the Group's debt to equity ratio from 1.7 in 2012 to 1.4 in 2013, and to close the year with the best performance in the group's history."

The company's board has recommended a cash dividend to shareholders of 15 fils per share, which will be reviewed at an AGM that is due to be held in the next few weeks.

Net profit for the final quarter of last year was KD2.6 million, up four percent the year-earlier period, a statement said, adding that company asset stood at KD158 million.

Jazeera Airways is based in Kuwait and operates a network including Dubai, Bahrain, Beirut, Alexandria, Amman, Istanbul, Sharm El Sheikh, Assiut, Luxor, Mashhad, Sohag, Jeddah, Riyadh, Cairo and Al Najaf.

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