Air Arabia shareholders approve seven percent cash dividend at Annual General Meeting
Air Arabia (PJSC) (DFM: AIRARABIA) shareholders approved the distribution of a seven percent cash dividend for the financial year ending December 31, 2016 at the company’s Annual General Meeting in Sharjah today. The dividend, which is equivalent to seven fils per share, mirrors another year of sound financial performance for the award-winning low-cost carrier.
The recommendation of the Board of Directors follows the airline’s strong financial performance in the year ending December 31, 2016, which recorded a net profit of AED 509 million.
During the AGM, the assembly approved the report of the company’s auditors for the financial year ending December 31, 2016, as well as the balance sheet and profit and loss accounts for the same period.
The Board of Directors and auditors of the company were also discharged from liability for the financial year ending December 31, 2016, while auditors for the next fiscal year were appointed and their remuneration fixed. The assembly also elected the board of directors for the coming three years.
Sheikh Abdullah Bin Mohammed Al Thani, Chairman of Air Arabia, said: "We are pleased with the financial performance of the company in 2016, which reflected on the distribution of cash dividends to shareholders. Air Arabia’s business model and operational efficiency drives our growth strategy while continuing to maintain a strong financial performance throughout the year.”
Air Arabia carried more than 8.4 million passengers in 2016, recording a 12% increase on 2015 figures. The airline reported a total revenue of AED 3.8 billion by the end of the fourth quarter of 2016.
The airline received seven new A320 aircraft, bringing the feet size to 46, and added nine new destinations to its network, serving a total of 124 destinations from its five hubs in Sharjah, Ras Al Khaimah, Casablanca, Amman, and Alexandria.
The year 2016 also witnessed Air Arabia etching its mark as a strong force in the realm of low-cost carriers, supported by various awards, which are:
- ‘Low Cost Airline of the Year’ award at the Aviation Business Awards of 2016
- ‘Corporate Social Responsibility Initiative of the Year’ award for its ‘Charity Cloud’ program, at the Aviation Business Awards of 2016
- Mr. Adel Abdullah Al Ali, Group Chief Executive Officer of Air Arabia, accepted the ‘Airline CEO of the Year’ award at the renowned CEO Middle East Awards 2016
- ‘Best Low-cost Airline serving the Middle East’ at the 2016 edition of the Business Traveller Middle East Awards
- ‘Best Value Leisure Product’ award at the Travel Trade Fair Pune, India
- The Airfinance Journal ranked Air Arabia 3rd in its ‘Top 50 airlines of the World’ list
Air Arabia currently operates flights to 124 destinations in 33 countries from five hubs across the Middle East and North Africa.