Latest news with #strategicrealignment
Arabian Business
a day ago
- Business
- Arabian Business
Wizz Air to exit Abu Dhabi by September 2025: Refunds and final UAE flight dates revealed
Wizz Air has announced it will suspend operations in Abu Dhabi as it refocuses business away from the UAE. The low-cost carrier said it will strategically look to European markets, following a review of market dynamics. Wizz Air Abu Dhabi will suspend all flights from September 1. Wizz Air suspends Abu Dhabi flights A statement from Wizz Air said: 'Wizz Air Holdings PLC today announces a strategic realignment that reinforces the Company's core strength and focus in Central and Eastern Europe and select Western European markets. 'This decision follows a comprehensive reassessment of market dynamics, operational challenges, and geopolitical developments in the Middle East. 'As a result of the suspension of Wizz Air Abu Dhabi operations as part of this strategic realignment, Wizz Air will suspend all locally based flight operations effective September 1, 2025 and intends to exit from the joint venture going forward and will focus on its core markets. Wizz Air Holdings PLC ('Wizz Air') today announces a strategic realignment that reinforces the Company's core strength and focus in Central and Eastern Europe and select Western European markets. This decision follows a comprehensive reassessment of market dynamics, operational… — Wizz Air (@wizzair) July 14, 2025 'Wizz Air Abu Dhabi has faced increasing operational challenges over the past year, including: • Engine reliability constraints, particularly in hot and harsh environments, which have impacted aircraft availability and operational efficiency • Geopolitical volatility, which has led to repeated airspace closures and operational disruptions across the region, as well as wreaking consumer demand • Regulatory barriers, which have limited the Company's ability to access and scale in key markets 'These factors have significantly impacted the viability of Wizz Air's ultra-low-cost model in the region and its ability to deliver profitability in line with its core European operations. 'Wizz Air will intensify its focus on its core Central and Eastern European markets, as well as select Western European countries such as Austria, Italy and the UK. 'This strategic realignment to core markets will enable the Company to redeploy resources to regions with greater long-term potential for sustainable growth and profitability. 'Wizz Air remains committed to delivering affordable, efficient, and sustainable air travel, while maintaining a disciplined approach to capital allocation and focus on shareholder value creation'. József Váradi, CEO of the low-cost carrier, said: 'We have had a tremendous journey in the Middle East and are proud of what we have built. I thank our highly dedicated employees for their relentless efforts and commitment for developing the WIZZ brand in new and dynamic markets. 'However, the operating environment has changed significantly. Supply chain constraints, geopolitical instability, and limited market access have made it increasingly difficult to sustain our original ambitions. 'While this was a difficult decision, it is the right one given the circumstances. We continue to focus on our core markets and on initiatives that enhance Wizz Air's customer proposition and build shareholder value.' The airline's passengers with existing bookings beyond August 31, 2025 will be contacted directly via email with options for refunds or alternative travel arrangements it said.
The National
a day ago
- Business
- The National
Wizz Air suspends Abu Dhabi operations despite record air travel
has said it will exit its operations in Abu Dhabi to focus on its core markets after a "comprehensive reassessment" and "strategic realignment." The low-cost carrier will suspend its UAE operations from September 1, it said in a statement on Monday. The move comes even as Abu Dhabi continues to welcome more passenger traffic across its airports. The emirate's five airports reported a record 29.4 million travellers in 2024, up 28 per cent year-on-year, driven by growth at Zayed International Airport that is home to Gulf major Etihad Airways. Abu Dhabi's Zayed International Airport handled 28.8 million passengers last year, up from 22.4 million in 2023, as the emirate's main hub added airlines and expanded its network, according to state-owned operator Abu Dhabi Airports. Zayed International Airport connected travellers to a network of more than 125 destinations with 29 routes launched last year. In 2024, Wizz Air Abu Dhabi carried more than 3.5 million passengers, up 20 per cent year-on-year, on 19,000 flights that offered 4.4 million seats. Load factor, a measure of how well an airline fills available seats, stood above 80 per cent last year. The airline said it faced increasing operational challenges over the past year, including engine reliability problems, particularly in "hot and harsh environments", which have affected aircraft availability and operational efficiency. It has faced prolonged maintenance issues with Pratt & Whitney engines that have grounded dozens of aircraft in its all-Airbus fleet. Passengers with existing bookings beyond August 31 will be contacted directly via email with options for refunds or alternative travel arrangements, the airline said. Those who booked through third-party providers are advised to contact their respective agents, it said. "We have had a tremendous journey in the Middle East and are proud of what we have built," said Jozsef Varadi, chief executive of Wizz Air. "While this was a difficult decision, it is the right one given the circumstances. We continue to focus on our core markets and on initiatives that enhance Wizz Air's customer proposition and build shareholder value." Abu Dhabi is seeking to diversify its non-oil sectors – as part of wider plans to reduce the economy's reliance on hydrocarbons – with a focus on growing strategic industries including tourism, aviation and hospitality. In April 2024, the emirate announced plans to invest more than $10 billion in infrastructure as part of a strategy to boost international visitor numbers and cultural activity. Abu Dhabi's tourism sector is expected to contribute Dh55 billion ($14.97 billion) to the emirate's gross domestic product in 2024, up from Dh46 billion last year, with a 'north star' target of more than Dh90 billion by 2030, Saood Al Hosani, undersecretary of the Department of Culture and Tourism in Abu Dhabi, told The National in December. Middle Eastern airlines recorded a 6.2 per cent year-on-year increase in travel demand in May, the International Air Transport Association (Iata) said in its latest monthly traffic report. Capacity increased 6.3 per cent year-on-year. Meanwhile, load factor was 80.9 per cent, a 0.1 percentage point decrease compared with May 2024. Global airlines are keeping an eye on oil price volatility and geopolitical developments in some areas, but travel demand remains robust, Iata added. "Consumer confidence appears to be strong with forward bookings for the peak northern summer travel season, giving good reason for optimism,' said Willie Walsh, Iata's director general. According to Iata's annual report in June, the Middle East will generate the highest net profit per passenger among the world's regions. "Robust economic performance is supporting strong air travel demand, both for business and leisure travel. However, with delays in aircraft delivery, the region will see limitations in capacity as airlines embark on retrofit projects to modernise their fleet, hence limiting growth," it said. Etihad Airways carried 1.8 million passengers in June, a 16 per cent increase compared to the same month last year, it said in its monthly traffic report on Monday. Its passenger load factor rose to 88 per cent, up from 86 per cent in June 2024. The Abu Dhabi-based airline carried 10.2 million travellers in the first half of 2025, reflecting a 17 per cent rise year-on-year. The average passenger load factor for the year to date stands at 87 per cent. Etihad has already started inaugural flights to four new destinations this year – Prague, Warsaw, Sochi and Atlanta – and is set to add another 13 routes before the end of the year. Air Arabia Abu Dhabi, the UAE capital's first low-cost carrier, is also launching new routes this year. Most recently it announced services between Abu Dhabi and Almaty, Kazakhstan, and Sialkot, Pakistan. Aviation and aviation-related tourism contributed 18 per cent of the UAE's GDP and created nearly one million jobs in the country in 2023, supported by "smart regulation and investment in world-class infrastructure", Iata said in a report in May this year.
The National
a day ago
- Business
- The National
Wizz Air to exit Abu Dhabi operations despite record air travel
has said it will exit its operations in Abu Dhabi to focus on its core markets after a "comprehensive reassessment" and "strategic realignment." The low-cost carrier will suspend its UAE operations from September 1, it said in a statement on Monday. The move comes even as Abu Dhabi continues to welcome more passenger traffic across its airports. The emirate's five airports reported a record 29.4 million travellers in 2024, up 28 per cent year-on-year, driven by growth at Zayed International Airport that is home to Gulf major Etihad Airways. Abu Dhabi's Zayed International Airport handled 28.8 million passengers last year, up from 22.4 million in 2023, as the emirate's main hub added airlines and expanded its network, according to state-owned operator Abu Dhabi Airports. Zayed International Airport connected travellers to a network of more than 125 destinations with 29 routes launched last year. In 2024, Wizz Air Abu Dhabi carried more than 3.5 million passengers, up 20 per cent year-on-year, on 19,000 flights that offered 4.4 million seats. Load factor, a measure of how well an airline fills available seats, stood above 80 per cent last year. The airline said it faced increasing operational challenges over the past year, including engine reliability problems, particularly in "hot and harsh environments", which have affected aircraft availability and operational efficiency. It has faced prolonged maintenance issues with Pratt & Whitney engines that have grounded dozens of aircraft in its all-Airbus fleet. Passengers with existing bookings beyond August 31 will be contacted directly via email with options for refunds or alternative travel arrangements, the airline said. Those who booked through third-party providers are advised to contact their respective agents, it said. "We have had a tremendous journey in the Middle East and are proud of what we have built," said Jozsef Varadi, chief executive of Wizz Air. "While this was a difficult decision, it is the right one given the circumstances. We continue to focus on our core markets and on initiatives that enhance Wizz Air's customer proposition and build shareholder value." Abu Dhabi is seeking to diversify its non-oil sectors – as part of wider plans to reduce the economy's reliance on hydrocarbons – with a focus on growing strategic industries including tourism, aviation and hospitality. In April 2024, the emirate announced plans to invest more than $10 billion in infrastructure as part of a strategy to boost international visitor numbers and cultural activity. Abu Dhabi's tourism sector is expected to contribute Dh55 billion ($14.97 billion) to the emirate's gross domestic product in 2024, up from Dh46 billion last year, with a 'north star' target of more than Dh90 billion by 2030, Saood Al Hosani, undersecretary of the Department of Culture and Tourism in Abu Dhabi, told The National in December. Middle Eastern airlines recorded a 6.2 per cent year-on-year increase in travel demand in May, the International Air Transport Association (Iata) said in its latest monthly traffic report. Capacity increased 6.3 per cent year-on-year. Meanwhile, load factor was 80.9 per cent, a 0.1 percentage point decrease compared with May 2024. Global airlines are keeping an eye on oil price volatility and geopolitical developments in some areas, but travel demand remains robust, Iata added. "Consumer confidence appears to be strong with forward bookings for the peak northern summer travel season, giving good reason for optimism,' said Willie Walsh, Iata's director general. According to Iata's annual report in June, the Middle East will generate the highest net profit per passenger among the world's regions. "Robust economic performance is supporting strong air travel demand, both for business and leisure travel. However, with delays in aircraft delivery, the region will see limitations in capacity as airlines embark on retrofit projects to modernise their fleet, hence limiting growth," it said. Etihad Airways carried 1.8 million passengers in June, a 16 per cent increase compared to the same month last year, it said in its monthly traffic report on Monday. Its passenger load factor rose to 88 per cent, up from 86 per cent in June 2024. The Abu Dhabi-based airline carried 10.2 million travellers in the first half of 2025, reflecting a 17 per cent rise year-on-year. The average passenger load factor for the year to date stands at 87 per cent. Etihad has already started inaugural flights to four new destinations this year – Prague, Warsaw, Sochi and Atlanta – and is set to add another 13 routes before the end of the year. Air Arabia Abu Dhabi, the UAE capital's first low-cost carrier, is also launching new routes this year. Most recently it announced services between Abu Dhabi and Almaty, Kazakhstan, and Sialkot, Pakistan. Aviation and aviation-related tourism contributed 18 per cent of the UAE's GDP and created nearly one million jobs in the country in 2023, supported by "smart regulation and investment in world-class infrastructure", Iata said in a report in May this year.
The National
a day ago
- Business
- The National
Wizz Air to exit Abu Dhabi operations
has said it will exit its operations in Abu Dhabi to focus on its core markets after a "comprehensive reassessment" and "strategic realignment." The low-cost carrier will suspend its UAE operations from September 1, it said in a statement on Monday. Passengers with existing bookings beyond August 31 will be contacted directly via email with options for refunds or alternative travel arrangements, the airline said. Those who booked through third-party providers are advised to contact their respective agents, it said. The airline said it faced increasing operational challenges over the past year, including engine reliability problems, particularly in "hot and harsh environments", which have affected aircraft availability and operational efficiency. It has faced prolonged maintenance issues with Pratt & Whitney engines that have grounded dozens of aircraft in its all-Airbus fleet. "We have had a tremendous journey in the Middle East and are proud of what we have built," said Jozsef Varadi, chief executive of Wizz Air. "While this was a difficult decision, it is the right one given the circumstances. We continue to focus on our core markets and on initiatives that enhance Wizz Air's customer proposition and build shareholder value." The move comes even as Abu Dhabi continues to welcome more passenger traffic across its airports. The emirate's five airports reported a record 29.4 million travellers in 2024, up 28 per cent year-on-year, driven by growth at Zayed International Airport that is home to Gulf major Etihad Airways. Abu Dhabi's Zayed International Airport handled 28.8 million passengers last year, up from 22.4 million in 2023, as the emirate's main hub added airlines and expanded its network, according to state-owned operator Abu Dhabi Airports. Zayed International Airport connected travellers to a network of more than 125 destinations with 29 routes launched last year. In 2024, Wizz Air Abu Dhabi carried more than 3.5 million passengers, up 20 per cent year-on-year, on 19,000 flights that offered 4.4 million seats. Load factor, a measure of how well an airline fills available seats, stood above 80 per cent last year. Abu Dhabi is seeking to diversify its non-oil sectors – as part of wider plans to reduce the economy's reliance on hydrocarbons – with a focus on growing strategic industries including tourism, aviation and hospitality. In April 2024, the emirate announced plans to invest more than $10 billion in infrastructure as part of a strategy to boost international visitor numbers and cultural activity. Abu Dhabi's tourism sector is expected to contribute Dh55 billion ($14.97 billion) to the emirate's gross domestic product in 2024, up from Dh46 billion last year, with a 'north star' target of more than Dh90 billion by 2030, Saood Al Hosani, undersecretary of the Department of Culture and Tourism in Abu Dhabi, told The National in December. Middle Eastern airlines recorded a 6.2 per cent year-on-year increase in travel demand in May, the International Air Transport Association (Iata) said in its latest monthly traffic report. Capacity increased 6.3 per cent year-on-year. Meanwhile, load factor was 80.9 per cent, a 0.1 percentage point decrease compared with May 2024. Global airlines are keeping an eye on oil price volatility and geopolitical developments in some areas, but travel demand remains robust, Iata added. "Consumer confidence appears to be strong with forward bookings for the peak northern summer travel season, giving good reason for optimism,' said Willie Walsh, Iata's director general. According to Iata's annual report in June, the Middle East will generate the highest net profit per passenger among the world's regions. "Robust economic performance is supporting strong air travel demand, both for business and leisure travel. However, with delays in aircraft delivery, the region will see limitations in capacity as airlines embark on retrofit projects to modernise their fleet, hence limiting growth," it said. Etihad Airways carried 1.8 million passengers in June, a 16 per cent increase compared to the same month last year, it said in its monthly traffic report on Monday. Its passenger load factor rose to 88 per cent, up from 86 per cent in June 2024. The Abu Dhabi-based airline carried 10.2 million travellers in the first half of 2025, reflecting a 17 per cent rise year-on-year. The average passenger load factor for the year to date stands at 87 per cent. Etihad has already started inaugural flights to four new destinations this year – Prague, Warsaw, Sochi and Atlanta – and is set to add another 13 routes before the end of the year. Air Arabia Abu Dhabi, the UAE capital's first low-cost carrier, is also launching new routes this year. Most recently it announced services between Abu Dhabi and Almaty, Kazakhstan, and Sialkot, Pakistan. Aviation and aviation-related tourism contributed 18 per cent of the UAE's GDP and created nearly one million jobs in the country in 2023, supported by "smart regulation and investment in world-class infrastructure", Iata said in a report in May this year.
Skift
a day ago
- Business
- Skift
Wizz Air Makes Rapid Exit from Abu Dhabi: What Went Wrong?
Wizz Air's hasty retreat exposes the limits of transplanting the European ultra low-cost model into a region with greater geopolitical instability and different regulatory frameworks. Wizz Air is abandoning its Abu Dhabi joint venture. It marks a sharp reversal of its Middle East expansion strategy as it refocuses on more stable and profitable European markets. In a market filing on Monday morning, the airline announced that it will suspend all locally based operations of Wizz Air Abu Dhabi from September 1. It also intends to exit the joint venture entirely. The move comes as part of a broader 'strategic realignment' of the ultra low-cost carrier. "The operating environment has changed significantly," said Wizz Air CEO József Váradi in a statement. 'Supply chain constraints, geopolitical instability, and limited market access have made it increa
