Thai Airways Plc. has witnessed a surge in revenue, earning 41 billion baht in the first quarter of this year, attributed to the lifting of Covid restrictions in China and Japan. The company’s CEO, Chai Eamsiri, revealed that the revenue figure represents a significant jump from the previous year’s 11.181 billion baht.
The increase in flights on popular routes to and from China and Japan played a crucial role in the revenue growth, according to Mr. Chai. As travel demand continues to rise, Thai Airways is set to receive two out of the 11 new Airbus A350-900 aircraft ordered under its procurement plan in the second quarter. These aircraft will primarily serve routes to China, catering to the heightened demand in the Chinese market. The frequency of flights from Guangzhou, Beijing, and Shanghai will be further increased. Additionally, the airline plans to enhance flight frequency to European destinations, including the UK and Frankfurt, Germany. Mr. Chai emphasized that the European market remains a significant revenue generator, contributing approximately 40% of the carrier’s overall revenue.
Anticipating a positive trend, Mr. Chai expects Thai Airways to carry around 9 million passengers and generate approximately 130 billion baht in revenue in the first half of 2023.
Regarding the merger between Thai Smile Airways and Thai Airways, the CEO disclosed that the study on the merger proposal has been completed, and the results will be presented to the company’s creditors next week for endorsement. The merger is expected to improve asset management and aircraft utilization efficiency. With the merger, the flight time for Thai Smile aircraft will increase from 9 to 12-13 hours per day, resulting in a 20% reduction in costs.
Thai Airways looks forward to capitalizing on the increasing travel demand and streamlining its operations through the merger, aiming to strengthen its position in the aviation industry while maximizing efficiency and profitability.
