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FINANCIAL NEWS
Royal Jordanian posts $40.38m profit in 2009
16 Feb 2010
(MENAFN) Royal Jordanian (RJ) announced its audited financial results for 2009, with net profits of $40.38 million, despite of the challenges that the air transport industry faced last year.
However, the carrier’s operational revenues dropped by 15 percent from $988.4 million in 2008 to $844.4 million last year. RJ’s President, Hussein Dabbas, blamed the decline on the overall slump in travel and tourism in the world and also on a significant regression in cargo.
The carrier’s operational costs went down by 19.1 percent, from $953 million in 2008 to $772 million in 2009, mainly due to the drop in fuel prices globally, leading to a decrease in the fuel bill of the company by 47 percent compared to a year earlier.
Dabbas added that the gross profits for 2009 amounted to JD52.1 million against JD24.9 million last year, marking a 109% increase. Consequently, the airline attained net profits of $40.38 million, against net losses of $34.87 million experienced in 2008.
The company’s results also showed that flight frequencies and flying hours went up by 4 percent each, whereas air freighting declined by 27 percent compared to 2008.
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