Turkish Airlines Aims To Become The World’s 6th Most Valuable Airline

Turkish Airlines, the country’s national flag carrier, plans to clean the slate of the aftermath of the coronavirus pandemic in 2023 and serve a record number of passengers to become the world’s sixth most valuable airline brand that year, according to the company’s chairperson.

Turkish Airlines (THY) CEO and Board Chairman Ahmet Bolat recently announced that the company’s market valuation has risen to above 10 billion euros ($10.6 billion), making it the 10th most valuable airline in the world.

The carrier has swiftly recovered from the effects of the COVID-19 pandemic, increased its profitability, and is getting near to its capacity levels before the pandemic.

In an interview with Anadolu Agency (AA), Bolat stated that the company is on track to become the world’s sixth-most valuable airline by 2024. In addition, he highlighted the fact that the company would carry its one billionth passenger in February and March.

Bolat said that the achievement resulted from the company’s consistent double-digit growth rate over the past two decades, with 2016 and 2020 being the only exceptions.

The opening of Istanbul Airport in 2018 eased the company’s capacity problems, which helped the company’s expansion.

Over 120 take-offs and landings per hour may be accommodated at Istanbul Airport. He pointed out that the new airport was crucial to their development.

Bolat continued by saying that investors bought more Turkish Airlines stock because they saw the government was serious about making Türkiye a significant role in the global aviation industry.

Bolat said that because of the difficulties experienced by European airlines, passengers choose to fly with them less frequently, which boosted their company’s earnings.

The market value of Turkish Airlines rose to almost $10.72 billion this year, making it the best-performing airline company, thanks to a surge of nearly 625% in share price.

The increase allowed the Turkish airline to surpass its largest European competitor, Lufthansa, whose market cap is about $10.29 billion. Stock in Lufthansa rose by more than 30 percent so far in 2018.

Bolat emphasised that by the end of this year, Turkish Airlines will have transported over 72 million passengers in 2022. The company expects to have carried over 88 million passengers next year.

Net sales for the first three quarters of this year were $2.25 billion, a fivefold increase compared to the same time in 2019.

He stated that Turkish Airlines now operates more than 390 aircraft, with plans to increase this number to 427 by the end of 2023.

Bolat stated that the 400th aeroplane would arrive in the middle of February. Boeing 787 production problems have been resolved. At the end of this month, they will receive their first plane.

Bolat said that next year’s goal for Turkish Airlines, which now flies to 342 destinations in 129 countries (including Türkiye), is 346.