UAE’s Air Arabia posts record profits...

The Middle East's largest low-cost carrier sees passenger numbers soar 12% to 18.8 million

Air Arabia has announced record profits of AED1.6 billion (US$435 million) before tax in 2024 as passenger numbers soared 12% to reach 18.8 million.

Air Arabia's success should come as little surprise, with recent reports from Mastercard and Marriott agreeing that travellers from the region are expecting better value for money, especially when 54% say they plan to travel more in 2025.

The first and largest low-cost carrier in the Middle East and North Africa (MENA), Air Arabia grew its network significantly in 2024, adding 31 new routes and bringing the global network to 220 routes.

“2024 has been a record-breaking year for Air Arabia Group, marked by significant expansion and an increased footprint across all key markets,” said Sheikh Abdullah Bin Mohamed Al Thani, Chairman of Air Arabia.

"Our focus is on enhancing connectivity, increasing operational capacity, and providing our customers with the best options for affordable and value-driven air travel.”

There is clearly demand for Air Arabia’s value proposition, and the airline which pioneered the low-cost concept in the region back in October 2003 has been able to deliver record results despite growing competition from other budget carriers such as Wizz Air, suggesting there is room for multiple players in the low-cost market as demand soars.

Wizz Air reported record 20% growth in passengers carried in 2024, reaching 3.5 million across more than 19,000 fligths. The airline connects Abu Dhabi to more than 30 destinations across the Middle East, Europe, Africa, and Asia.

There is also competition from Saudi’s low-cost airline Flynas. In July 2024, it signed an order for 160 new Airbus aircraft, which would take the carrier’s total fleet to 280.

To service its additional routes in 2024, Air Arabia’s fleet expanded to 83 Airbus A320 and A321 aircraft. Nine leased aircraft were also introduced to cover peak season operations.

Notable expansion for Air Arabia last year included multiple flights connecting the UAE with Russia – a key and growing inbound market – and with destinations in Europe.

On 20 December, Air Arabia launched a direct service between Sharjah and Vienna, four times a week. There were also new routes to Baku, Warsaw and the Maldives.

Interestingly for a budget airline, Air Arabia has also ventured into services usually reserved for premium flag carriers, such as home check-in service, which includes luggage processing to reduce wait times and unnecessary stress. This was launched for customers in Abu Dhabi in September 2024, and helps challenge perceptions of low-cost carriers and the quality of service that passengers can expect.

Al Thani says Air Arabia remains committed to growth and expansion, and there have already been more routes added in 2025.

As well as recommencing direct flights between Abu Dhabi and Beirut in Lebanon, the airline has launched a direct service between Sharjah, UAE and Addis Ababa, Ethiopia’s capital three times a week, and directly weekly flights between the UAE's Ras Al Khaimah and Tashkent in Uzbekistan.

For more information, visit www.airarabia.com

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