Financial Round Up
Royal Jordanian revenue down 7%
October 7th 2014
Jordan’s flag carrier Royal Jordanian (RJ) has reported an annual revenue of JOD744 million ($1.05 billion) in 2013, down 7.2% from JOD802 million in 2012. Read More »
With the government as its biggest shareholder, the carrier does not reveal profit and loss figures.
RJ said the revenue drop was mainly due to the continued instability in some of its Middle East markets, such as Syria and Libya, as well as on routes to South East Asia, which have increasingly come under pressure from the “Big Three” rival carriers from the neighbouring Gulf.
Furthermore, RJ’s short-haul markets have been hit by increased competition from new regional carriers with lower cost bases, such as Air Arabia and Al Jazeera Airways.
To cut losses, the Amman-based carrier announced in July that it will terminate services to Delhi and Mumbai from October.
In other news, RJ last week received its second B787-8, due to replace existing A330 and A340 aircraft.
