Etihad Airways Reports Record AED 2.6 Billion Profit for 2025

Etihad Airways has announced its strongest financial results to date, posting a record net profit of AED 2.6 billion (US $698 million) for the full year 2025. The Abu Dhabi-based carrier described the performance as a “defining year,” marking its fourth consecutive year of profitability driven by robust demand and significant network expansion.

According to the airline’s official release, the 2025 results reflect a 47 percent year-on-year increase in profit after tax. The carrier also reported a profit margin of 8.4 percent, which it noted is more than double the global airline industry average of 3.9 percent estimated by IATA for the same period. The results underscore Etihad’s successful post-pandemic recovery and its aggressive growth Strategy under its “Journey 2030” roadmap.

Antonoaldo Neves, Chief Executive Officer of Etihad Airways, highlighted the significance of the milestone in a statement:

“2025 has been a defining year for Etihad, delivering our strongest performance across every key metric and marking our fourth consecutive year of profitability.”

Financial Performance Highlights

The airline reported total revenue of AED 30.7 billion (US $8.4 billion), a 21 percent increase compared to the previous year. This growth was fueled by strong performances in both passenger and cargo divisions. Passenger revenue alone rose by 24 percent to AED 25.8 billion (US $7.0 billion), attributed to increased capacity, higher yields, and sustained global travel demand.

Operational efficiency also improved, with Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) climbing 37 percent to AED 6.3 billion (US $1.7 billion). The airline achieved an EBITDA margin of 20 percent. Cash flow from operations reached nearly AED 8.0 billion (over US $2 billion), allowing the carrier to fully fund its capital expenditures for the year while continuing to deleverage its balance sheet.

In December 2025, credit rating agency Fitch upgraded Etihad’s rating to AA-, which the airline states is the highest publicly available rating among global airline peers.

Operational and Fleet Expansion

Etihad’s record financials were supported by a major expansion in operations. The Airlines carried 22.4 million passengers in 2025, a 21 percent increase from 2024. This growth aligned with a 21 percent rise in capacity (Available Seat Kilometers), while the passenger load factor improved by two percentage points to 88.3 percent.

The carrier’s fleet grew to 127 Commercial-Aircraft, the largest in its history, following the addition of 29 new aircraft during the year. This expansion included the Delivery of new Airbus A321LR, A350, and Boeing 787 models, as well as the reactivation of Airbus A380s. Consequently, Etihad’s network expanded to 110 destinations, up from 94 the previous year, with new routes launched to cities including Atlanta, Prague, Warsaw, and Hanoi.

Cargo operations also contributed to the positive results, with revenue increasing 8 percent to AED 4.5 billion (US $1.2 billion). Cargo volumes rose by 9 percent to over 700,000 tonnes, supported by increased belly-hold capacity from the growing passenger fleet.

Strategic Outlook and Workforce

Looking ahead, Etihad outlined plans to invest AED 80 billion over the next decade in new aircraft and product enhancements. The airline aims to continue its trajectory as one of the fastest-growing full-service carriers in the world.

To support this growth, the company significantly expanded its workforce in 2025, welcoming over 3,200 new employees. This included approximately 1,600 cabin crew and 400 pilots. The airline also emphasized its internal talent development, noting around 2,200 promotions across the organization during the year.

AirPro News analysis

Etihad’s 2025 results signal a complete turnaround from its restructuring phase in the late 2010s. By achieving an 8.4 percent net profit margin, well above the industry average, the airline has validated its shift away from the “equity alliance” strategy of the past toward a focus on sustainable, organic growth centered on Abu Dhabi.

As competition intensifies in the Gulf region with the rise of Riyadh Air and the continued dominance of Emirates and Qatar Airways, Etihad’s ability to self-fund expansion through strong cash flow (AED 8 billion) positions it securely for the next phase of Middle East aviation rivalry.

Frequently Asked Questions

What was Etihad Airways’ profit in 2025?
Etihad reported a record net profit after tax of AED 2.6 billion (US $698 million).

How many passengers did Etihad carry in 2025?
The airline carried 22.4 million passengers, a 21 percent increase year-on-year.

How many destinations does Etihad serve?
As of the end of 2025, Etihad’s network covers 110 destinations, an increase from 94 in 2024.

What is Etihad’s current credit rating?
Fitch upgraded Etihad’s credit rating to AA- in December 2025.

Sources: Etihad Airways

This article summarizes reporting by Reuters and data from official company filings. The original Reuters report may be paywalled; this article summarizes publicly available elements and public remarks.

Azul Airlines Exits Chapter 11 Bankruptcy with $2.5 Billion Debt Reduction and New US Investment

Brazilian carrier Azul S.A. formally exited Chapter 11 bankruptcy proceedings in the United States on February 20, 2026, marking the conclusion of a nine-month financial restructuring process. According to reporting by Reuters and official securities filings, the airline has successfully eliminated approximately $2.5 billion in debt and lease obligations while securing significant new equity from major US partners.

The exit positions Azul as the final major Latin American carrier to complete a post-pandemic restructuring, following similar processes by LATAM, Avianca, and Gol. With a leaner balance sheet and renewed capital, the airline has stated it will now pivot from stabilization to strategic growth, specifically targeting demand for the upcoming 2026 FIFA World Cup.

Financial-Results Restructuring Details

The restructuring plan, approved by the U.S. Bankruptcy Court for the Southern District of New York, focused heavily on debt-for-equity swaps and renegotiating contracts without grounding flights. According to summary data regarding the exit, the airline raised approximately $1.375 billion in new debt through Senior Notes and $950 million in new equity capital.

A key component of this financial overhaul involves direct Investment from two of the world’s largest airlines. United Airlines and American Airlines have each invested $100 million into the reorganized carrier. As a result of these capital injections, both US carriers now hold an approximate 8.5% stake in Azul.

In a statement regarding the company’s outlook, CEO John Rodgerson emphasized the carrier’s renewed stability.

“We have emerged significantly strengthened and are positioned for long-term stability and sustainable growth.”

, John Rodgerson, CEO of Azul S.A. (via press statements)

The restructuring also achieved an estimated 50% reduction in annual interest payments compared to pre-filing levels, significantly improving the airline’s cash flow profile.

Operational Changes and Fleet Optimization

While the financial engineering took place in court, Azul implemented strict operational adjustments to improve efficiency. The airline simplified its fleet by returning approximately 20 older generation Commercial-Aircraft, primarily Embraer E195-E1s, to lessors. This move is intended to lower maintenance costs and increase average aircraft utilization across its remaining operational fleet of approximately 170 jets.

Network adjustments were equally aggressive. The carrier cut roughly 50 unprofitable routes to concentrate resources on high-margin domestic hubs, such as Viracopos in Campinas, and key international connections. Despite these cuts, Azul reported carrying a record 32 million customers in 2025 and ranked as the fourth most on-time airline globally.

AirPro News Analysis

The simultaneous investment by United Airlines and American Airlines is a notable development in the Latin American aviation market. Typically, US carriers align exclusively with specific partners to feed their respective alliances (Star Alliance and oneworld). The fact that both major US competitors have taken significant equity stakes in Azul underscores the strategic importance of the Brazilian domestic market.

Furthermore, this dual investment suggests that Azul may remain independent rather than merging with a rival like Gol, a possibility that had been speculated upon during the restructuring process. By securing capital from competing US giants, Azul maintains leverage and connectivity options across multiple international networks.

Strategic Outlook: World Cup 2026

Looking ahead, Azul is aligning its network strategy with the 2026 FIFA World Cup, which will be hosted across the United States, Canada, and Mexico. The airline plans to reinforce flight schedules to the US to capture the anticipated surge in passenger demand between Brazil and North America.

S&P Global Ratings has issued a positive outlook for the airline, citing expectations for capacity expansion and sound operating performance in 2026. The company continues to trade under the ticker AZUL (B3: AZUL4) and its ADRs on the NYSE.

Frequently Asked Questions

When did Azul file for bankruptcy?

Azul filed for Chapter 11 protection in May 2025, citing the impacts of the COVID-19 pandemic, volatile fuel prices, and currency depreciation.

Did Azul stop flying during bankruptcy?

No. Unlike some liquidations, Chapter 11 allows companies to operate normally while restructuring. Azul maintained full operations throughout the nine-month process.

Who owns Azul now?

Ownership has been diluted through debt-for-equity swaps. Notable minority investors now include United Airlines and American Airlines, each holding approximately 8.5%.

Sources: Reuters, MarketScreener, S&P Global Ratings

This article is based on an official press release from Adani Group and additional data from public reporting.

Guwahati Airport’s New Terminal 2 Commences Operations, Quadrupling Capacity

Commercial operations officially began today, February 22, 2026, at the new Integrated Terminal (Terminal 2) of Lokpriya Gopinath Bordoloi International Airport (LGBIA) in Guwahati, Assam. According to an official press release from Adani Airport Holdings Ltd (AAHL), the new facility increases the airport’s annual passenger handling capacity from 3.4 million to 13.1 million, marking a significant shift in the aviation infrastructure of North East India.

The terminal, which was inaugurated by Prime Minister Narendra Modi on December 20, 2025, is designed to serve as the primary aviation gateway to Southeast Asia. The project represents a total investment estimated at ₹5,000 crore (approximately $600 million), with the terminal building alone accounting for over ₹1,600 crore. The transition to the new facility addresses long-standing congestion issues at the airport, which serves as the central hub for the region.

In a statement regarding the operational launch, the Adani Group emphasized that the expansion is not merely a capacity upgrade but a strategic development to bolster connectivity for Assam and its neighboring states. The operator, Guwahati International Airport Limited (GIAL), a subsidiary of AAHL, confirmed that the old terminal (Terminal 1) will now be repurposed into a dedicated cargo hub to support regional trade.

Infrastructure and Capacity Upgrades

The operationalization of Terminal 2 introduces a massive scale-up in infrastructure. The total terminal area has expanded from approximately 20,000 square meters to 140,000 square meters. This physical expansion supports a drastic increase in processing capabilities, designed to handle the projected growth in air traffic over the coming decades.

Key Operational Metrics

According to data provided in the press release and project reports, the new terminal features significant upgrades across all passenger touchpoints:

• Passenger Capacity: Increased from 3.4 million to 13.1 million passengers per annum.
• Runway Throughput: Air Traffic Movements (ATMs) capacity raised from 18 to 34 per hour.
• Check-in Facilities: Expanded to 64 check-in counters.
• Immigration: Now features 20 immigration counters to facilitate international travel.
• Boarding: Equipped with 10 aerobridges to streamline passenger flow.

Jeet Adani, Director of Adani Airport Holdings Ltd, highlighted the collaborative effort behind the project.

Today is more than a commercial milestone. It is a proud moment for the people of Assam and the North-East… This achievement belongs to the countless hands and hearts that turned vision into reality.

, Jeet Adani, Director, Adani Airport Holdings Ltd

Design and Sustainability: The “Bamboo Orchid” Theme

The architecture of Terminal 2, designed by Nuru Karim of NUDES, is marketed as India’s first “nature-themed” airport terminal. The design explicitly references local culture, utilizing the “Bamboo Orchid” theme inspired by the kopou phool (foxtail orchid) and the bholuka bamboo native to Assam.

Sustainability was a core component of the construction brief. The structure incorporates over 140 metric tonnes of bamboo, paying homage to the structural traditions of the Apatani tribe. Inside, the terminal features a “Sky Forest”, an indoor rainforest installation housing nearly 100,000 indigenous plants. The facility also integrates passive cooling systems, extensive natural lighting, and water recycling capabilities to minimize its environmental footprint. These features contributed to the design winning the International Architecture Award 2025.

The Guwahati terminal demonstrates how world-class airport infrastructure can be delivered swiftly while remaining deeply rooted in local identity.

, Gautam Adani, Chairman, Adani Group

Strategic Importance for North East India

With a capacity of 13.1 million passengers, Guwahati (LGBIA) has solidified its position as the undisputed aviation hub of the North East. For comparison, nearby airports such as Imphal and Agartala handle approximately 1.5 to 2 million passengers annually. The expansion allows Guwahati to act as a spoke-and-hub center, feeding traffic to smaller regional airports while maintaining direct connections to major metros and international destinations.

Currently, the airport connects to 21 domestic destinations and 3 international routes (Bangkok, Singapore, and Paro). The increased runway capacity and immigration facilities are expected to attract more international carriers, specifically targeting Southeast Asian markets.

AirPro News Analysis

The opening of Terminal 2 at LGBIA represents a critical maturation point for the privatization of Indian airports. Since the Adani Group took over operations in October 2021, the focus has shifted toward maximizing non-aeronautical revenue and expanding capacity ahead of demand curves.

While the aesthetic and capacity upgrades are substantial, the repurposing of Terminal 1 for cargo is perhaps the more economically significant move for the region. North East India has historically suffered from logistics bottlenecks; a dedicated air cargo hub in Guwahati could significantly lower transit times for perishable goods and export products from Assam, potentially transforming the economic landscape of the state beyond just tourism.

Frequently Asked Questions

When did the new terminal in Guwahati open?

Commercial operations at the new Integrated Terminal (Terminal 2) commenced on February 22, 2026. It was inaugurated earlier by PM Narendra Modi on December 20, 2025.

Who operates the Guwahati International Airport?

The airport is operated by Guwahati International Airport Limited (GIAL), a subsidiary of Adani Airport Holdings Ltd (AAHL), which took over management in October 2021.

What is the capacity of the new terminal?

The new terminal can handle 13.1 million passengers annually, nearly four times the capacity of the previous terminal (3.4 million).

What will happen to the old terminal?

The old terminal (Terminal 1) is slated to be repurposed into a dedicated cargo hub to boost regional trade capabilities.

Sources

• Adani Group Press Release
• Construction World
• India Today
• The Economic Times