Fiji Airways has cautioned that “2024 will be a very different year than 2023,” while identifying nine key challenges that will affect its operations this year. According to its 2023 annual report presented in Parliament on Friday, the airline posted an operational profit of $113.2 million, a significant turnaround from a loss of $175 million in 2022.
The company reported total revenue of $1.8 billion, representing a 67 percent increase from the previous year, and receipts of $1.9 billion, which is up 58 percent from 2022. Chairman Nalin Patel noted that the year 2023 was characterized by robust financial performance, attributed to the company’s strategic initiatives and the resilience of its workforce.
Patel remarked, “We are already observing a more challenging and competitive environment for 2024, not just for the airline but also for Fiji as a destination.”
The challenges highlighted include:
– An unpredictable economic landscape in key markets
– Geopolitical tensions
– The ongoing conflict in Ukraine
– The situation between Israel and HAMAS
– Heightened competition
– Fluctuating fuel prices
– Rising operational costs due to inflation
– Continuing wage inflation
– A stronger US dollar
He emphasized, “Our financial operations in 2024 will be very different from 2023. Despite these challenges, we remain optimistic about our ability to navigate them. These factors will influence customer demand, airfares, hotel pricing, and more; however, we have a capable team prepared to face the challenges ahead.”