Fiji Airways makes record Profit before Income Tax of $131.81M

The Fiji Airways Group has announced a record Profit before Income Tax of $131.81 million and Operating Revenue of $1.8 billion – both of which are the highest ever in the history of the national airline.

Based on the record-breaking financial performance, the Fiji Airways Board of Directors has endorsed a Profit Share payout to all eligible non-management employees to recognise their hard work and dedication.

While addressing the staff at their celebration in Nadi, Deputy Prime Minister and Minister for Finance, Professor Biman Prasad announced that the profit share is $5,000 for each non-management employee of Fiji Airways which will be in their bank account by last night.

The Fiji Airways Board has also approved the payment of an interim Dividend of $15 million.

The Group released its financial results for the period ending December 31, 2023.

It was also revealed at a celebration yesterday that they have repaid $100 million in debt, the seat capacity increased by 47 percent to 2.8 million, passengers flown increased by 57 percent to 2.2 million, their equity has been restored to $265.7 million, and employees increased by 37 percent to 2,051 employees.

The company says 2023 marked a transformative year for Fiji Airways, characterized by a full-scale ramp-up in operations and unprecedented growth.

It says the financial year saw the complete reopening of international markets and full restoration of the Group's 2019 network coupled with significant growth.

Professor Biman Prasad said the $1.8 billion revenue (earnings) is a direct injection into the economy.

He says it spurs activity not just in the tourism sector but across the national economic landscape by way of salaries, the purchases of goods and services, payment of utilities, new investments and countless other daily transactions - all of which collectively fuel the engine of growth.

Professor Prasad says all of staff’s efforts have helped build lives, paid for education, basic health services and assisted in the uplifting of national infrastructure.

Fiji Airways Managing Director and CEO, Andre Viljoen says he is extremely proud of the commitment and determination shown by the entire team to help achieve these historic results.

He says given the difficult times that the company and the nation has come through during the COVID-19 pandemic, reaching these milestones in such a short time, is testament of the grit and tenacity of the Fiji Airways Vuvale.

Viljoen says today, they are seeing the benefits of all their strategic actions.

Fiji Airways Group Chairman, Nalin Patel has also congratulated the company for the stellar performance saying, the record breaking revenue earnings and profit shown by the national airline are truly remarkable.

Other key achievements for 2023 are new services to Canberra in Australia and Noumea in Caledonia, resumption of flights to Adelaide, Hong Kong and Tokyo, full year of service direct to Vancouver, Canada, signed partnerships with JetBlue and Porter Airlines further expanding their footprint in North America, implementation of Unbundled Fares to allow customers the option to ‘Fly Your Way’, creating a dedicated ESG function focused on widening their sustainability improvements/actions, securing major sponsorships; Fiji Men’s and Women's’ National 7’s teams, Fijian Drua, Melbourne Storm, Kaiviti Silktails, LA Galaxy, NRL Vegas Round, and commencing Phase 2 construction of their world class Fiji Airways Aviation Academy which includes the addition of CAE A350 and ATR full flight simulators and more estimated to cost $130 million, refinancing Asian Development Bank’s loan of US$32 million and deferred leases of US$10.2 million of Dubai Aerospace Enterprise, through domestic borrowings to reduce interest costs and foreign exchange exposures, promoting or progressing 47 local Fijian pilots via training at the Fiji Airways Aviation Academy, operating first ever flight fueled by Sustainable Aviation Fuel operated out of Singapore, acquiring additional shares in Richmond Pte Limited trading as Sofitel Resort and Spa to increase shareholding to 50 percent, acquiring shares in the new Vatu Talei Pte Limited - 190 room resort development estimated to cost over $230.0 million and expected to commence operations in late 2026.