Gulf Air and Bahrain Air report improving results in a difficult climate

After suffering through local political unrest and the wider repercussions of the Arab Spring in 2011, Bahrain's two local airlines may finally have something to smile about. Gulf Air and Bahrain Air have both reported improving market conditions and stronger passenger numbers even though some regional instability remains and the two airlines face intense competition in local markets.

Bahrain Air has even reported a couple of profitable months of operations, although neither carrier is in an enviable position. The two airlines are on decidedly better ground than they were 12 months ago, when traffic levels were down by nearly 30% in the early part of 2011. Traffic at Bahrain International Airport has bounced back significantly in the past few months, although passenger numbers have only just recovered to levels seen in 2010.

Gulf Air reported 1H2012 revenue rose 6% year-on-year, although the airline did not report any net figures as it recovers from the Arab Spring related downturn in 2011.