Operating revenue for 2020 stood at KD41,4 million while the company reported a net loss of KD26,4 million impacted by various one-offs and adverse accounting treatment specifically related to IFRS 16, which combined were equivalent to KD15 million.
Commenting on the results, Marwan Boodai, chairman, Jazeera Airways, said, “Jazeera’s performance in 2020 was in line with industry benchmarks. Its number of passengers decreased by 71 percent during the year in comparison to 72.9 percent in the Middle East and 65,9 percent worldwide, while load factor decreased by 13,2 percent in comparison to 18,9 percent for the Middle East and 19,2 percent worldwide.”
Boodai added, “While the extent of the pandemic was not foreseen back in March 2020, Jazeera took immediate action to safeguard its position against airport closures and ensure its business continuity as a private company. The airline suspended its 2019 dividend payment, activated the drawdown of bank facilities that were not previously tapped and renegotiating cost structures with suppliers and aircraft manufacturers. We were very prudent in our cash management and closed the year with enough cash coverage for the upcoming 20 months without the need to access any additional external funding.”