FlyNamibia aims for 2025 profitability
Hopes based on business plan
FlyNamibia says it hopes to achieve profitability in 2025, despite serving an incredibly small market.
FlyNamibia CEO Andre Compion has indicated that he hopes the homegrown airline will achieve profitability by 2025 as it anchors its business around the Hosea Kutako International Airport (HKIA) to build connectivity within Namibia.
He made the comments during the recently concluded Aviadev Africa conference held in Windhoek last week.
He acknowledged that the airline was not yet profitable, but was moving towards achieving that. “I hope [we can achieve profitability] tomorrow, but most definitely, with the roll-out anticipated, next year. We should achieve profitability in the next year,” a bullish Compion said during a discussion on FlyNamibia’s operations.
The CEO based his hope for profitability on the airline’s business plan, which he said would help drive FlyNamibia toward profitability. "We have got a good business plan to eventually achieve the success that we are working at, but it's not easy,” the pharmacist-turned-airline-operator conceded.
Compion acknowledged that while FlyNamibia’s start-up costs were excessive, profitability was not an insurmountable goal. “It’s taken a huge amount of cash and effort, but we strongly believe we are going to get there."
As part of its future plans, FlyNamibia is moving its operations to HKIA to align with international and regional airline arrivals and departures in a move to leverage increased passenger demand. The move, Compion explained, would help the airline augment its domestic operations, while contributing to the growth of the tourism industry.
“Our domestic market is extremely small. Our average route length is between 300 to 500 nautical miles, which costs a lot of money in those sectors in a market that is really thin. Our typical loads seat around 30 to 35 passengers. The only way we can grow is to offer connectivity, to be able to receive inbound passengers, distribute them and take them back to HKIA,” he said.
“We are moving the bulk of our flights to HKIA, we are aligning ourselves with regional and international departures, [and] we are expanding in and sub-region - not only domestically,” he added.
He made the comments during the recently concluded Aviadev Africa conference held in Windhoek last week.
He acknowledged that the airline was not yet profitable, but was moving towards achieving that. “I hope [we can achieve profitability] tomorrow, but most definitely, with the roll-out anticipated, next year. We should achieve profitability in the next year,” a bullish Compion said during a discussion on FlyNamibia’s operations.
The CEO based his hope for profitability on the airline’s business plan, which he said would help drive FlyNamibia toward profitability. "We have got a good business plan to eventually achieve the success that we are working at, but it's not easy,” the pharmacist-turned-airline-operator conceded.
Compion acknowledged that while FlyNamibia’s start-up costs were excessive, profitability was not an insurmountable goal. “It’s taken a huge amount of cash and effort, but we strongly believe we are going to get there."
As part of its future plans, FlyNamibia is moving its operations to HKIA to align with international and regional airline arrivals and departures in a move to leverage increased passenger demand. The move, Compion explained, would help the airline augment its domestic operations, while contributing to the growth of the tourism industry.
“Our domestic market is extremely small. Our average route length is between 300 to 500 nautical miles, which costs a lot of money in those sectors in a market that is really thin. Our typical loads seat around 30 to 35 passengers. The only way we can grow is to offer connectivity, to be able to receive inbound passengers, distribute them and take them back to HKIA,” he said.
“We are moving the bulk of our flights to HKIA, we are aligning ourselves with regional and international departures, [and] we are expanding in and sub-region - not only domestically,” he added.
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