Business improvements and process optimization bring Air Serbia profit of 12.2 million euro in 2018
Net profit of €12.2 million in 2018
- 2.48 million passengers carried
- Total Available Seat Kilometres of 4.03 billion
- Load factor 71.2 percent
- New charter operations record - revenue up by one third in relation to 2017
- New fares concept introduced
- Continued increase of online sales
Air Serbia, the national airline of the Republic of Serbia, with measures involving business improvements, preparation for network expansion achieved in June 2019, and optimization of processes, in its fifth year of operation, reported a net profit of €12.2 million for 2018.
Particularly good results were achieved in the sale of ancillary services, which were nearly five times higher than in 2017, reaching €6.9 million. Revenue from charter operations rose by more than 40 percent, to €20.7 million, additionally improving results from 2017, which was a record year.
The total number of passengers carried in 2018 was 2.48 million, while the airline’s passenger carrying capacity, measured in Available Seat Kilometres (ASKs), in 2018 was 4.03 billion. Average passenger load factor (SLF) was 71.2 percent.
The charter brand, Aviolet, performed a record 958 flights in 2018, carrying 223 thousand passengers to popular holiday destinations in Greece, Turkey, Spain, Italy, and Egypt, an increase of 28 percent compared to the previous year. Other novelties last year included the re-introduction of flights to Hurghada in Egypt, increase of flights to the Turkish coast, and the introduction of a series of Aviolet flights to Antalya operated from Banja Luka.
In March 2018, Air Serbia made considerable business improvements by introducing its new fares policy, with the idea of allowing passengers to tailor their journey to their individual needs. The new fare policy enables passengers to choose when booking a flight between four fares, depending on baggage allowance, booking change flexibility, etc. Along with the new choice of fares, passengers can buy à la carte service on-board, priority boarding, advance seat reservations or access to Air Serbia’s Premium Lounge.
An indication of the importance of online sales is the fact that a third of all Air Serbia was purchased online, with the increase of online sales up by three percent compared to 2017. A strategic decision was made to continue with the accelerated development of online sales of tickets and ancillary services in the future, in keeping with global trends in the airline industry and the digitalization in progress in our country.
Duncan Naysmith, Chief Executive Officer of Air Serbia, said: "Last year was important because the airline set the foundations for expanding its network. This also served as a basis for our long term strategy, which has already been implemented and will reinforce our role as regional leader. Regardless of the numerous and demanding challenges in the airline industry, Air Serbia is developing its product portfolio to ensure even better financial and operative results but also to offer our passengers an excellent product for an economical price".
He added the Serb national carrier would continue providing services in line with the best standards in the airline industry.
In 2018, Air Serbia celebrated two important events - the 90th anniversary of the first flight operated by Aeroput and the fifth anniversary of Air Serbia’s transformation begun in 2013.