Air Seychelles registers solid performance in first half of 2014

Air Seychelles, the national airline of the Republic of Seychelles, today announced a strong first half-year 2014 (H1) financial performance, with double digit growth in revenue, passenger and cargo volumes, reflecting continued solid success in the airline’s business strategy. 

The airline posted total revenues of US$50 million (up from US$42 million in 2013), an increase of 20 per cent for the first half of the year.

A total of 184,101 passengers flew with Air Seychelles in the first six months of 2014, an increase of nearly 25 per cent compared to the same period in 2013 (146,980 passengers). Available Seat Kilometres (ASKs), reflecting network seat capacity, rose 46 per cent to 727.4 million in H1 (496.7 million). 

Praslin-Mahé maintained its position as the airline’s busiest route, with 71,961 passengers flying to and from Seychelles’ second largest island.

Abu Dhabi was Air Seychelles’ second busiest route with 49,934 passengers carried, a substantial year-on-year increase of 90 per cent, followed by Hong Kong with 24,142 passengers (+73 per cent); Johannesburg 22,218 passengers (+29 per cent); and Mauritius 15,846 passengers (+14.4 per cent).

Air Seychelles’ cargo operations recorded significant growth in the first half of 2014 with 3,520 tonnes carried, 35 per cent more than H1 2013 (2,606 tonnes).

The airline’s domestic cargo services also performed well, rising 8.4 tonnes to 13.2 tonnes, a 172 per cent year-on-year increase (4.8 tonnes). 

Air Seychelles achieved average seat factors of nearly 60 per cent across its network of five destinations in H1, up 8.5 percentage points on a year earlier with Q2 seat occupancy reaching 73 per cent. 

In the first half of 2014, Air Seychelles expanded its codeshare agreement with strategic partner Etihad Airways, adding Amman, Dammam, Jeddah, Riyadh, Rome, Seoul and Zurich to its global partnership network, strengthening the island carrier’s connections to new tourism source markets.

The Air Seychelles-Etihad Airways codeshare network rose to 28 destinations around the world, up from 19 in H1 2013. Via Abu Dhabi, 269 additional connecting flight options per week were added to the Seychelles, bringing to 566 the total number of weekly connections, a year-on-year increase of 90.5 per cent (297 flights).

Manoj Papa, Chief Executive Officer of Air Seychelles, said: “Our strong performance in the first half of 2014, and growth in revenue, passenger and cargo figures, reflects the continued success of our business model, our partnership with Etihad Airways, and the hard work and dedication of our staff.

“Overall it continues to be a tough operating environment for many airlines, but we are confident our strategy will continue to allow us to drive quality revenue, enhance the guest experience, while being a catalyst for boosting trade and tourism into Seychelles.

“In December, we will introduce non-stop flights to Mumbai, Dar es Salaam and Antananarivo, which along with Paris, will bring to four the number of routes coming online in 2014, the fastest expansion in our airline’s history.

“Air Seychelles is therefore focused, and we are on track for a third year of profitability.”

Joël Morgan, Seychelles Minister for Home Affairs and Transport and Air Seychelles Board Chairman, added: “We are delighted with the half-year performance of Air Seychelles, an airline owned in the majority by the people of Seychelles.

“Air Seychelles has increased cargo tonnage and added more passengers than ever, with growth outstripping capacity increases—a winning blend and a remarkable achievement.

“The results demonstrate the airline’s turnaround success story, which has seen us widen and deepen our partnership with Etihad Airways and other airlines, while significantly expanding our customer offering throughout 2014.

“As the majority shareholder representing the people of Seychelles, the government of Seychelles believes the airline is laying the foundations for our nation to become the Indian Ocean hub of choice for air travellers. This has the potential to boost the economy of the Seychelles in terms of trade and tourism, and to also improve upon the cultural ties with other countries of the Indian Ocean.