Egyptair Chairman and CEO, Hussein Massoud, stated the carrier plans to increase full-year profits by nearly a third, stating: "We are making a profit", and adding: "We are planning to see more this year" (Reuters, 08-Aug-2010). The company is planning to reporte a USD132 million profit in the 12 months to Jun-2011, a 31% year-on-year increase. Mr Massoud added that the Star Alliance carrier is continuing with its fleet expansion plans, adding: "We turned the crisis into an opportunity and have advanced our receiving of aircraft". The carrier expects to take delivery of four B737-800 by the end of 2010, with two B777-300s scheduled for delivery in Nov-2010 and Dec-2010 The carrier added that it has no immediate plans for IPO, although it remained an option for the future, with Mr Massoud stating: "Three to four years ago we thought about an IPO, but now our status is healthy and we are in no need of such things. But no one knows the future". Regarding the potential for a LCC subsidiary, the CEo commented: "There may be some planning but there is no project for now. We are thinking what is the solution for facing low cost carriers"
Egyptair sees full-year profit increase; no immediate IPO or LCC plans
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European airline seat capacity growth accelerates - perhaps too quickly: Outlook for winter 2016/17
The summer 2016 season came to an end on 29-Oct-2016. Adjusting for an extra week relative to the previous summer, it produced seat growth of 6% for capacity to/from/within Europe, matching the rate of growth in summer 2015, but higher than the 10-year average rate of 4% and higher than any other summer since 2010.
Current indications from data filed with OAG are that Europe will also experience accelerating capacity growth in the winter 2016/2017 season, which runs from 30-Oct-2016 to 25-Mar-2017. Adjusting for the season being shorter by one week relative to last winter, total seat growth in Europe is set to reach 7%, compared with 6% growth in winter 2015/2016 (and 6% growth in summer 2016). This is higher than the 10-year average rate for winter of 3% and the highest winter growth since 2007/2008.
On routes to all but one region from Europe, seat growth this winter will both be faster than last winter and higher than its 10-year average. The one exception is Europe to Middle East, the fastest-growing region, where capacity growth will remain at 10%. This report presents analysis of this winter's seat growth for Europe by region and by airline group.
LCC Volotea Part 2: in a competitive space positioned between regional airlines and LCCs
Part 1 of CAPA's analysis of Spanish LCC Volotea highlighted its rapid growth, but noted that its load factor left room for improvement. The Spanish LCC flies almost two thirds of its seats in domestic Italy and France, but operates in a total of 12 countries and 66 airports across Europe. It concentrates on small and medium-sized airports, with Italy and France dominating its list of leading routes.
This second part of CAPA's report on Volotea looks at its generally favourable competitive position on its leading routes (it is the biggest airline on 15 of its top 20 routes). This positive competitive standing has been carried onto the majority of the 32 routes that Volotea has launched in the past year, although its low frequencies and very strong summer bias limit its appeal to business passengers and give it a leisure focus.
Volotea's average trip length sits between those of regional airlines and Europe's principal LCCs. This is evidenced by the fact that two of its most frequent competitors are Hop (Air France's regional airline) and Ryanair (Europe's leading LCC). Volotea's fleet strategy is now to replace its 125-seat Boeing 717s with 150-seat A319s. This will result in it butting up against LCCs more often.