RJ sees noteworthy financial improvement in first nine months of 2019

Royal Jordanian

Royal Jordanian’s (RJ) financial results for Q3, as well as the first nine months of the year, showed notable increase in the latest data released by the airline.

Net profits achieved in the first nine months of 2019 stood at $34.4 million after tax, indicating a 139 per cent spike on the $14.4 million recorded in 2018.

The operating revenues for the same period also went up from $719.7 million in 2018 to $725.4 million this year – a one per cent increase – while the operating cost decreased by four per cent, from $606.8 million in the first nine months of 2018 to $581.4 million in the same period this year.
As a result, the gross profit recorded by the company in the first nine months of this year increased by 28 per cent, from $112.9 million in 2018 to $143.9 million this year.

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President and CEO, RJ, Stefan Pichler said: “The company has continued to post positive financial and operational results in 2019 due to the turnaround plan, launched in the last quarter of 2017, which we are implementing and which aims at enhancing RJ’s financial and operational performance, as well as raising the standard of services we offer our guests.

“All is done following a clear plan supported by the board of directors, which sets the ambitious goal of enhancing RJ’s presence and competitiveness regionally and globally, and strengthens its strategic role as the national carrier and a bridge connecting Jordan and the Levant with the world,” he added.

The airline had a 74 per cent seat load factor for the first nine months of 2019, and fleet utilization grew from 12.2 to 12.6 hours per day – a three per cent increase. On time performance increased by two per cent from 76.4 per cent to 77.8 per cent in the comparison period.

Pichler concluded: “RJ is on the right path toward the profitability that the company and its stakeholders are aiming at. The positive financial results for the first nine months of 2019 ensure that the airline will register satisfactory results by the end of this year.”