Another strong set of results from Jet Airways is helping to vindicate Etihad’s decision to invest in the Indian carrier just over two years ago.
The airline posted $71 million in profits – a record – for the third quarter of its fiscal year, compared to a $0.5 million loss in the same quarter a year earlier. It is the carrier’s third consecutive quarter of profit.
Over the first three quarters of Jet Airways’ fiscal year, the carrier saw passenger traffic increase by 20 percent to 19.2 million, while profits rose 41 percent to $168 million.
Abu Dhabi flag-carrier Etihad bought a 24 percent stake in Jet for $325 million in November 2013.
The move was part of the UAE airline’s strategy to purchase a series of equity stakes in a number of other carriers in a bid to streamline aircraft purchases, codeshare deals and financing arrangements, among other areas.
“We are very satisfied with the operating and financial performance of Jet Airways that has resulted in record profits,” said James Hogan, president and CEO of Etihad, and vice chairman of Jet Airways, in a press statement.
“We remain committed to providing solid support and driving further synergies between the two partners.”
The Jet Airways announcement follows a strong quarter of another of Etihad’s equity partners, Virgin Australia.
Australia’s second-largest airline posted a 32 percent rise in profits before tax for the second quarter of its fiscal year, to $52 million.
Etihad’s other equity partners include Alitalia, which current Jet Airways boss Cramer Ball will shortly be joining as CEO, Air Berlin, Air Seychelles and Etihad Regional (operated by Darwin Airline).
In March last year, European airline Air Serbia, in which Etihad owns a 49 percent stake, reported a net profit of $3 million in its first full year of operations since the two carriers became partners.
Follow us on
