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The Abu Dhabi-based international luxury flight services company chaired by the UAE Minister of Public Works, Shaikh Hamdan bin Mubarak Al Nahyan, has recorded its best-ever business results during the first nine months of 2011.
“Flight hours, revenues increased by more than 30 per cent in the first nine month over 2010 and profitability we expect to comfortably ahead of our target for 2011,” O’Hare told Khaleej Times in an interview at the Dubai Airshow.
Citing tough market condition, he said the company will grow in-line with the market conditions. “Market conditions continue to be tough. And we think that will continue to be tough probably for another 12 months or so. We will continue to ensure that we grow our fleet to meet market demand,” he added.
“For the next two years we would imagine our business plan. We are looking at addition of one aircraft per year,” he said responding about new aircraft purchase.
Declining to name the aircraft manufacturer, he said: We assess aircraft on the need of the business and it’s not yet decided.”
Royal Jet’s current fleet consists of 12 aircraft including six Boeing Business Jets, which makes it the world’s single largest independent BBJ operator; two mid-range Gulfstream 300s; a long-range Gulfstream IVSP; a Lear Jet 60 and an Embraer Lineage 1000.
He mentioned that summer traffic helps boost Royal Jet revenues. Other contributors to Royal Jet’s best ever performance, was the company’s ability to tailor-fit its expansion plans to market conditions, this included the establishment of an operational base in Saudi Arabia, investments in its brokerage business and the appointment of new General Sales Agreements (GSAs) in Oman and India.
Looking further into future, Royal Jet is mid way through a five-year expansion plan, which involves looking at many different and cost-effective ways of increasing fleet size and flexibility. These include management contracts and further refurbishments, all of which are being investigated on a regular basis within the context of the market conditions.
The company also run a brokerage business and O’Hare said this business is booming. “We opened a brokerage service, which allow us to charter third-party aircraft on behalf of clients where Royal Jet aircraft may not be available.”
Royal Jet can find the right aircraft at the best price for any request for any journey, he said, adding that this aspect is particularly important for corporate customers who often have to make last minute travel arrangements to meet the pressing demands of their business.
At the Dubai Airshow, Royal Jet launched its new cabin crew uniforms and said: “It shows that we invest in our people and we want to make sure that our people look best dressed. We continue to invest in updating the uniform.”
The new uniforms not only look great, but they signal another phase in Royal Jet’s on-going development, he said, adding: “As we look ahead to our ninth year of operation, we’re still a relative youngster, but we are continually evolving and enhancing our product offering – which includes the way our cabin crew present themselves – to best meet the needs of our customers.”
Similarly the company also commenced a major refurbishment programme on its aircraft. There was also the re-introduction into the fleet of our flagship Boeing Business Jet, at the end of 2010 following a multi-million dollar refurbishment programme.” Latest technology at the plane is also part of refurbishment programme, he added.
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