Air Astana reports a 12.4% revenue growth to $1.3 billion for 2024, prompting a special dividend of $0.425 per GDR. The airline has expanded its fleet proactively, adding 8 aircraft, and plans to introduce new routes, enhancing its market reach in 2025. The CEO highlights robust passenger growth due to increasing air travel demand.
Air Astana (AIRA), the largest airline in Central Asia and the Caucasus, reported a revenue increase of 12.4%, reaching $1.3 billion for the fiscal year ending December 31. Following its IPO debut, shares rose nearly 3% to $6.22 in morning trading, reflecting positive investor sentiment. In light of strong financial results, the airline proposed a special dividend, amounting to $0.425 per global depositary receipt (GDR).
In a separate development, Air Astana settled with Pratt & Whitney regarding the PW1100G engines installed on its A320-200 neo aircraft. The airline implemented a mitigation plan, which involved proactively managing the fleet by resting engines during low seasons and securing additional aircraft capacity. This strategy led to an early expansion of the fleet, increasing from 52 to 60 aircraft, with a target of reaching 63 by the end of 2024.
Moreover, Air Astana’s CEO, Peter Foster, noted significant growth in passenger numbers, with an addition of nearly one million passengers in 2024, attributed to rising demand in Kazakhstan and neighboring markets. The airline has also announced eight new routes for 2025, including flights from Almaty to Frankfurt, Guangzhou, Mumbai, Da Nang, and Nha Trang. A memorandum of understanding was signed with China Southern Airlines to enhance expansion into the mega-market.
Air Astana has demonstrated strong financial performance with a significant rise in revenue and a proposal for special dividends. Effective fleet management and mitigation strategies in collaboration with Pratt & Whitney have positioned the airline for continued growth. The introduction of new routes and partnerships emphasizes the company’s commitment to expanding its market presence and responding to increasing travel demand.
Original Source: www.sharesmagazine.co.uk
