Wizz Air is expecting to retain only 10-15 Airbus A321XLR twinjets, rather than the 47 it ordered, as it shifts its business strategy away from the Middle East.
The airline is shutting down its Abu Dhabi operation from September.
“Wind-up plans [are] underway,” the carrier states in a first-quarter briefing.
It will redeploy four locally-registered A321neos once the aircraft are re-registered, while eight older A321s will be parked and used for spare capacity at peak holiday times.
Wizz Air is axing the Abu Dhabi division not only for geopolitical reasons – it has not been able to access certain important markets – but also operational ones.
It says engines are more vulnerable to the harsh conditions, and degrade faster.
“We knew this going in,” it admits. “But without sufficient engine shop visit capacity and the ability to charge a revenue premium, this breaches strategic rationale.”
Wizz Air says the Abu Dhabi division’s flights were performing “below” the company’s targets.
Suspension “immediately eliminates” a loss-making operation, it states, allowing the aircraft to be redeployed to Europe where their financial performance will improve.
Wizz says the decision will have a “limited” incremental impact on its profit-and-loss account in fiscal 2025-26, with an “upside” from 2026-27.
Source link
Wizz Air is expecting to retain only 10-15 Airbus A321XLR twinjets, rather than the 47 it ordered, as it shifts its business strategy away from the Middle East.
The airline is shutting down its Abu Dhabi operation from September.
“Wind-up plans [are] underway,” the carrier states in a first-quarter briefing.
It will redeploy four locally-registered A321neos once the aircraft are re-registered, while eight older A321s will be parked and used for spare capacity at peak holiday times.
Wizz Air is axing the Abu Dhabi division not only for geopolitical reasons – it has not been able to access certain important markets – but also operational ones.
It says engines are more vulnerable to the harsh conditions, and degrade faster.
“We knew this going in,” it admits. “But without sufficient engine shop visit capacity and the ability to charge a revenue premium, this breaches strategic rationale.”
Wizz Air says the Abu Dhabi division’s flights were performing “below” the company’s targets.
Suspension “immediately eliminates” a loss-making operation, it states, allowing the aircraft to be redeployed to Europe where their financial performance will improve.
Wizz says the decision will have a “limited” incremental impact on its profit-and-loss account in fiscal 2025-26, with an “upside” from 2026-27.
Source link
Share This:
admin
Plan the perfect NYC Memorial Day weekend
Pack only what you need and avoid overpacking to streamline the check-in and security screening…
LA’s worst traffic areas and how to avoid them
Consider using alternative routes, such as Sepulveda Boulevard, which runs parallel to the 405 in…
Virgin Atlantic secures Heathrow slot-based financing for fleet investment
Virgin Atlantic is to support investment in its fleet through a $745 million financing against…
Fully-substituted MC-21 prototype flown to Zhukovsky for certification tests
United Aircraft has flown the latest, fully import-substituted Yakovlev MC-21 prototype to the test centre…
Western sanctions could accelerate Russian fighter aircraft production decline – RUSI analysis
A new analysis argues that the West could meaningfully accelerate Russia’s decline as a producer…
How regime change in Syria affected our annual World Air Forces fleet review
Significant combat action that has taken place around the globe over the past 12 months…
Crew of 737 flew at low height to correct approach after pressure-setting error
Czech investigators have disclosed that a Boeing 737 crew levelled the aircraft at a low…
Embraer’s KC-390 completes tanker certification trials with Brazilian Saab Gripen E fighters
The Brazilian air force (FAB), Embraer and Saab have completed a certification flight-test campaign to…
Stood down: which types departed national fleets during our World Air Forces review?
We detail some of the most notable national fleet retirements recorded in the 12 months…
UK regional Blue Islands suspends operations weeks after Eastern Airways
Another UK regional operator, Blue Islands, has suspended operations barely two weeks after the demise…
SJ-100’s domestic engines tested for resilience to water ingestion
United Aircraft has carried out water-ingestion tests on its initial import-substituted Yakovlev SJ-100, equipped with…
Wizz A321XLR’s descent rate increased just before hard landing and tail-strike
Czech investigators have disclosed that a Wizz Air UK Airbus A321XLR’s descent rate increased by…