Amman, July 30, 2024 – The Board of Directors of Royal Jordanian Airlines has approved the financial results for the first half of 2024, showing a challenging period for the company amid regional instability. Vice Chairman and CEO Samer Majali announced that the airline carried 1.757 million passengers in the first six months, while acknowledging the significant impact of the ongoing conflict in Gaza on the aviation and tourism sectors in Jordan.
The company’s operational performance indicators showed an improvement, but financial results reflected a loss of JD27 million for H1 2024, compared to a JD17 million loss in the same period last year. Operating revenues also fell from JD348 million in H1 2023 to JD338 million in H1 2024. Majali noted that the first half of the year is typically weaker for airlines and emphasized that the results were generally in line with budget expectations.
Majali attributed part of the financial downturn to the conflict in Gaza, which has led to a 7.9% decline in tourist numbers and a notable decrease in tourism income, as reported by the Central Bank of Jordan. The war has particularly affected bookings from key markets such as the Palestinian territories, the West Bank, and the Arab citizens of Israel, diminishing the airline’s role as a primary carrier for inbound tourism to Jordan.
In response to these challenges, Royal Jordanian has been actively seeking cost reductions and exploring new routes to attract tourists, compensating for the decrease in travelers from traditional markets. The airline’s efforts include enhancing its fleet with the addition of four new Embraer E2 regional jets and a new Airbus 321 freighter. Another Embraer aircraft and three new A320 neo aircraft are expected to join the fleet by the end of the year.
Despite these efforts, Majali emphasized the need for a coordinated national response involving both public and private sectors to support Jordan’s air transportation and tourism industries. He stressed that the crisis, exacerbated by the conflict’s proximity, mirrors the impact of the COVID-19 pandemic but with a distinct regional focus.
Royal Jordanian also continues its commitment to social responsibility, providing support to Gaza through donations and special freight rates for humanitarian aid. This is part of the airline’s broader effort to contribute to the community during challenging times.
Looking ahead, Royal Jordanian plans to expand its network, with new destinations including London Stansted, Manchester, Al-Ula in Saudi Arabia, and Paphos. Further expansion announcements are anticipated later this year, as the airline seeks to bolster its market presence despite the ongoing challenges.–PR by RJ, News Desk