Friday, 16 November 2018 | 02:27 WIB

Garuda Indonesia Rakes $1.9 billion Operating Revenue and 5.9% Growth

Garuda Indonesia (GIAA) managed to record an operating revenue of $1.9 billion

JAKARTA NNC - In order to strengthen the financial and operational performance of the company on an ongoing basis, Garuda Indonesia along with its subsidiaries in early 2018 launched a long-term business strategy dubbed Garuda Indonesia Group (Sky Beyond 3.5) - which would be a value-driven aviation group with a Garuda Indonesia group valuation of $3.5 billion by 2020.

In the first-half of 2018 (H1/2018), PT Garuda Indonesia (GIAA) managed to rake a whopping $1.9 billion operating revenue, with a growth of 5.9 percent compared to the same period last year of $1.8 billion.

In H1/2018 Garuda Indonesia recorded an increase in the number of passengers carried by 8.3 percent with passenger transport of 18.7 million. Meanwhile, the cargo carried also increased by 2.7 percent to 225,000 tons.

Garuda Indonesia's OTP as its mainbrand reached 89 percent or up compared to the OTP achievement in the same period last year of 85.8 percent. This was also followed by an increase in aircraft utilization from 9:26 hours to 9:40 hours.

The positive growth in H1/2018 was also supported by the achievement of an increase in subsidiary income (subsidaries & strategic business units) of 28.4 percent. In addition, the company also continues to consistently improve the performance of cargo revenues which grew by 7.6 percent to $124.5 million in H1/2018.

In line with the airline business model differentiation development strategy, the company also recorded an increase in ancillary revenue revenue by 27.5 percent to $46.3 million in H1/2018, compared to the same period last year.

Meanwhile, through the efforts of Garuda Indonesia Group to maximize the potential of the low cost carrier (LCC) market, Citilink managed to record passenger growth of up to 25.6 percent to 7 million passengers in H1/2018, a significant increase from passenger transport in H1/2017 of 5.6 million passengers.

Throughout H1/2018, the company also developed a flight network by opening a number of new routes, including Denpasar - Xi'an, Denpasar - Zhengzhou, Makassar - Palembang, Jakarta - Sorong to Mumbai - Denpasar. Therefore, Garuda Indonesia currently serves flights to more than 90 destinations, consisting of 22 international destinations and 68 domestic destinations.

Currently, Garuda Indonesia managed to carve a series of international achievements including Skytrax awards for "The World's Best Cabin Crew", "5 Star Airline", "Top 10 Airline" from Skytrax. "Top Airline Asia Pacific" and "World's Best Economy Class" from Trip Advisor.