Jazeera Airways Will Share Its Huge Profits With Investors & Shareholders

Shareholders at Jazeera Airways have approved its Board of Directors’ recommendation to distribute cash dividends equivalent to 50% of its capital for the second half of 2022. This follows the airline announcing record profits for FY2022 of KD20.1 million ($65.7 million).

Dividends will be paid at 50 fils ($0.16) per share, amounting to a total payout of KD11 million ($35.8 million) for the second half of 2022. The decision was announced at Jazeera’s Annual General Meeting (AGM) and Extraordinary General Meeting (EGM) held at its headquarters in Kuwait on Tuesday.

Photo: ersinkk/Shutterstock

To put this into perspective, Jazeera Airways has paid out a total of KD107.6 million ($351.3 million) in cash to shareholders over the last decade, with its latest half-year payout amounting to more-than-double its usual shareholder dividend – during the first half of 2022, the airline distributed cash dividends at 30 fils ($0.098), taking its full-year payout to 80 fils ($0.26) per share.

Marwan Boodai, Chairman of Jazeera Airways, commented,

“For 2022, Jazeera Airways announced the highest profits in the history of our airline, despite a year marred with high fuel prices that added significantly to our costs. This highlights our stringent cost management strategy, strong business plan and hardworking team that drove this success across our network. We are pleased to share our success with our investors and shareholders and look forward to continuing this dynamic growth in the coming future.”

Record year in 2022

As Simple Flying reported in February, Jazeera Airways posted record profits in 2022 amounting to KD20.1 million ($65.7 million), a huge 183.6% increase on its 2021 results, and its operating revenue for the year stood at KD182.1 million ($595.4 million).

Photo: Soos Jozsef | Shutterstock

Driving its bumper year was a major increase in passenger traffic – the airline served 3.6 million passengers in 2022, a 50% increase on its pre-COVID total of 2.4 million in 2019, helping it to offset rising fuel costs.

The expansion will continue

The Kuwaiti airline added an impressive 15 destinations to its network in 2022, including an expansion in India and its first route to China, and won’t stop there. Just a week ago, the airline announced it would be adding three brand-new European destinations to its network – Tirana Mother Teresa International Airport (TIA), Munich Airport (MUC) and Belgrade Nikola Tesla Airport (BEG).

Photo: Markus Mainka / Shutterstock

On top of this, the carrier will resume service to two of the destinations added in 2022 – Sarajevo International Airport (SJJ) and Prague Václav Havel Airport (PRG) – in April and June respectively, taking its network to 62 destinations across Europe, the Middle East, Central & South Asia and Africa.

As for its fleet plans, Jazeera still has dozens of Airbus aircraft to join in the next few years, with 20 A320neos and eight A321neos on order. Also on the horizon for the airline is a new low-cost carrier in Saudi Arabia based at King Fahad International Airport in Dammam.

Have you flown with Jazeera Airways recently? Do you see the Kuwaiti carrier having another successful year? Let us know your thoughts in the comments.

Source: Khaleej Times