In FY16, Jet Airways managed to report annual profit for the first time in the last few years, largely because of its international operations. In the January-March quarter, international revenues contributed around 55% to its
total revenues.
The yields on international routes also increased by 1% Y-o-Y, while the same on the domestic routes decreased by 4.1%.
Ever since Etihad Airways bought a 24% stake in the airline in 2014, the international business has been growing steadily. Passenger revenues stood flat at Rs 2,489 crore from international routes, but earnings from ancillary services rose, with available seat kilometers (ASKM) increasing by 3.1%.
At a time when the airline has lost a bit of market share to the low-cost carriers such as Indigo and SpiceJet, the international business has been the mainstay of the Mumbai-based full service carrier.
Jet Airways also changed its European gateway to Amsterdam from Brussels, and it has significantly increased revenue generation.
“We shifted operations from Brussels to Amsterdam and launched daily flights from Mumbai, Delhi and Toronto.
This move was on account of Amsterdam offering better connectivity to the US, Canada and Europe. These operations have had a strong start with promising revenue performance,” said Amit Agarwal, acting chief executive, Jet Airways.
To Read the News in Full 11/06/16 Malyaban Ghosh/Financial Express
total revenues.
The yields on international routes also increased by 1% Y-o-Y, while the same on the domestic routes decreased by 4.1%.
Ever since Etihad Airways bought a 24% stake in the airline in 2014, the international business has been growing steadily. Passenger revenues stood flat at Rs 2,489 crore from international routes, but earnings from ancillary services rose, with available seat kilometers (ASKM) increasing by 3.1%.
At a time when the airline has lost a bit of market share to the low-cost carriers such as Indigo and SpiceJet, the international business has been the mainstay of the Mumbai-based full service carrier.
Jet Airways also changed its European gateway to Amsterdam from Brussels, and it has significantly increased revenue generation.
“We shifted operations from Brussels to Amsterdam and launched daily flights from Mumbai, Delhi and Toronto.
This move was on account of Amsterdam offering better connectivity to the US, Canada and Europe. These operations have had a strong start with promising revenue performance,” said Amit Agarwal, acting chief executive, Jet Airways.
To Read the News in Full 11/06/16 Malyaban Ghosh/Financial Express
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