Fiji Airways reported a debt of $682 million for the year 2023, according to its annual report presented to Parliament on Friday. The report did not disclose the names of its creditors.
Over the past decade, the airline’s total debt has fluctuated, starting from $632 million in 2014 and reaching $793 million by the end of 2021, nearly double the pre-COVID levels. In 2023, the company managed to decrease its debt by $100 million, as stated in the report.
The report highlighted that Fiji Airways refinanced $94.9 million of its debt, which included a $32 million loan from the Asian Development Bank and $10.2 million in deferred leases from Dubai Aerospace Enterprise. This refinancing was supported by a $90 million loan from BRED Bank to lower interest expenses and mitigate foreign exchange risk.
The airline has also contended with significant losses due to the COVID-19 pandemic, totaling over $578.8 million from 2020 to 2022. However, it claims to have displayed resilience and strategic abilities in overcoming these challenges.
In 2023, Fiji Airways not only paid back $100.4 million in loans but also reinvested $109 million into capital projects, including $49 million for the second phase of the Fiji Airways Aviation Academy and $34 million for its aircraft maintenance program.
Revenue for the company in 2023 reached $1.8 billion, reflecting a significant growth of 67 percent from 2022, while total receipts were $1.9 billion, marking a 58 percent increase. The airline noted that these figures represent the highest earnings in its 70-year history, surpassing pre-pandemic performance and establishing a new standard for future growth.