El Al has emerged stronger from the pandemic! This is the observation of Oranit Beit Halahmy Amir, general manager of the Israeli company for Central and Western Europe as well as Africa. In 2022, explains the manager, “El Al has a turnover of more than 2 billion dollars [près de 2 milliards d’euros]better than in 2019 », the last year before the Covid-19 crisis. The company even recorded a profit of nearly 100 million euros.
A performance, because “Israel only reopened its borders in May 2022”, she recalls. The airline has taken advantage of the passage of the pandemic to “to restructure”. It reduced its costs and separated nearly half of its workforce, going from 6,000 employees to around 3,000. But, driven by a stronger than expected return to activity, it “rehired as soon as traffic resumed”to now have 4,500 employees.
The company is already reaping the benefits of the Abraham Accords, these peace treaties, concluded in 2020, between Israel, the United Arab Emirates and Bahrain, which have also made it possible to normalize relations with Morocco and Sudan. “These agreements have given new opportunities”recognizes the general manager.
Low cost subsidiary
Now, Dubai and Morocco are among the busiest destinations. Above all, this policy of relaxation with Gulf countries makes the company’s activity easier and more profitable. Notably “because today we can fly over Oman and Saudi Arabia”welcomes Mme Beit Halahmy Amir. More direct routes mean fuel savings.
The company has defined a five-year strategy to reach a turnover of 3.5 billion dollars in 2028. By this date, it plans to carry 7.5 million passengers, against only 4.2 million in 2022 and 5.8 million in 2019. At the same time, additional revenue will be developed, such as the choice of seats or the carrying of additional luggage, which will increase from 4% of turnover in 2022 to 10% within five years.
While one might think that the recurring upheavals in the Middle East are detrimental to development, this is not the case, says the director general: “So far, we don’t see any impact. Quite the contrary. We have not noted any cancellations due to events. Attendance continues to increase. Over the years, passengers have become more resilient. » The company is working to broaden its clientele, which is strongly dominated by affinity, to seek out passengers who are more interested in tourism.
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