Ethiopian reports a successful year and inches close to new Nigerian airline

Eleanor Steed
By Eleanor Steed August 13, 2018 14:28

Ethiopian reports a successful year and inches close to new Nigerian airline

During its fiscal year 2017/18, Ethiopian Airlines, reported operating revenue up by 43% from previous fiscal year to culminate at 89.1 billion Ethiopian birr (ETB), with net profit of 6.8 billion ETB.

The number of passengers carried during the period grew by 21% topping the 10 million mark for the first time in the airline’s history and reaching 10.6 million passengers. Freight carried grew by 18% from previous fiscal year to attain 400,339 tons.

During the year, Ethiopian introduced an additional 14 new aircraft, more than one aircraft per month and opened eight new international destinations, namely Geneva (Switzerland), Chicago (USA), Bahrain, Kaduna (Nigeria), Buenos Aires (Argentina), Kisangani and Mbuji-Mayi (Democratic Republic of Congo) and Nosy-Be (Madagascar).

Recapping the exceptional 2017/18 fiscal year performance, Mr. Tewolde GebreMariam, Group CEO Ethiopian Airlines, said: “It was an exceptional year for Ethiopian with record performance in financial, operational, commercial and customer service areas…This performance is all the more exceptional given the very tough operating and competitive environment in Africa, where jet fuel price, our main cost driver, has soared during the year and is on average 30% more expensive in Africa, our home market, than in the rest of the world, putting the continent’s carriers at a severe competitive disadvantage. This remarkable result was also achieved in the backdrop of aggressive foreign carriers’ penetration into the African market with the African airline industry collectively forecasted to lose money.

He added: “The historical performance attests the soundness of our fast, profitable and sustainable growth plan, Vision 2025. During the next 2018/19 fiscal year, we aim to further grow our network, introduce record number of modern fleet and greatly enhance the on-ground customer service at our main hub with the opening at the end of 2018 of the newly expanded and significantly upgraded airport terminals in Addis Ababa.”

Meanwhile, Ethiopian Airlines has been described as the frontrunner to set up and manage a new national carrier for Nigeria.

“We are among a small group with an interest in establishing a national carrier (in Nigeria)…we do not know the results (of the tender), though we are frontrunners,” said Gebremariam during a news conference.

Eleanor Steed
By Eleanor Steed August 13, 2018 14:28