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Gulf Air, Bahrain’s national carrier, has posted its 2014 financial and operational results, the airline’s strongest financial results in a decade. The results reflect a 32.8% fall in annual losses from BHD 93.3 mln ($247.3 mln) in 2013 to BHD 62.7 mln ($166.2 mln) in 2014.
Commenting on the airline’s ongoing positive development in 2014, Shaikh Khalid bin Abdulla Al Khalifa, Deputy Prime Minister and Chairman of Gulf Air’s board said the 2014 performance “reflects a steady and continued improvement in its financial and operational business with targeted efforts to maintaining the airline’s strategic direction of customer growth, enhanced global bookings and a marked improvement in financial and operational results.”
The airline, in 2014, continued to strategically shift from low-value transit traffic through Bahrain to high-yield, high-demand, point-to-point routes focused largely on the MENA region while, in tandem, better utilising its existing assets to push the business forward. As a result Gulf Air witnessed, over the course of the year, a 15.4% rise in total revenue passengers.
The carrier’s financial trajectory remains on a positive upswing reflected by its consistently falling losses as the airline moves closer to achieving full commercial sustainability.
In 2014 Gulf Air maintained its lead in the Middle East by operating one of the largest regional networks while balancing its regional stronghold with strategic global links extending to 41 destinations with new launches in Europe, the Indian Subcontinent and the Middle East while the 28 strong all-Airbus wide and narrow body fleet of predominantly new aircraft underwent specific, targeted enhancements that were completed by the end of 2014.
CEO Maher Salman Al Musallam said: “Reducing our budget requirement doesn’t just involve cutting costs and saving money, it involves a strategic 360-degree assessment of our business that includes looking into how we can best nurture and develop our operations, technical capabilities, network, fleet, product, workforce, customers and more.”
Operationally, 2014 saw on-time-punctuality results position the airline as one of the global leaders, with an average annual on-time-performance of 89%. The year also saw its first in-sourced Airbus A330 18-month check at the airline’s base maintenance facility as Gulf Air moves towards establishing a robust aircraft maintenance system.
“Our future vision extends well beyond 2015 to ensure the longevity of this airline and its role in driving value to Bahrain and the industry as a whole. Our success to date in realising the positive turnaround of Gulf Air over the past two years gives me great confidence in our 2015 results,” added Al Musallam.
