Skip to content
Home » Airlines » Remarkable Turnaround: Norwegian Sets New Profit Record In 2023

Remarkable Turnaround: Norwegian Sets New Profit Record In 2023

Norwegian has published its financials for 2023, reporting a company-record operating profit (EBIT) of NOK 2,232 million. This milestone reflects the airline’s strategic move to reduce capacity during the less busy winter season, showcasing its ability to adapt and thrive.

Norwegian sets record profit for 2023.

Norwegian Financials 2023

The airline’s end-of-year liquidity surged to NOK 9.5 billion, underscoring its financial health. Norwegian’s smart decisions throughout the year have paid off, cementing its status as one of Europe’s most punctual and reliable carriers.

The full-year operating margin hit an unprecedented high of 9 percent for the airline. In the fourth quarter alone, Norwegian achieved an operating profit of NOK 328 million. The profit before tax for the whole year climbed to an impressive NOK 1,804 million and, for the final quarter, reached NOK 208 million.

Norwegian’s modern fleet ended the year strong with 87 aircraft, including 20 advanced 737 MAX 8 planes, which are celebrated for their cutting-edge technology. This modern fleet enhances the flying experience and reinforces Norwegian’s commitment to innovation and sustainability.

“I am thrilled to announce that Norwegian achieved all-time high profits for 2023. Our loyal customer base continued to grow, and we are grateful for their trust in us. Colleagues across the entire company have worked tirelessly to ensure operational excellence, ranging from the planning of our network and services to everyday execution,” said Geir Karlsen, CEO of Norwegian.

Norwegian Serves More Passengers with a Higher Load Factor in Q4

Norwegian had 4.7 million passengers in the quarter, up from 4.6 million passengers in the fourth quarter of 2022. Production (ASK) was 7.1 billion seat kilometers, while passenger traffic (RPK) was 6.0 billion seat kilometers. Compared to the previous quarter, capacity was down 32 percent as the company reduced its production to match seasonally lower demand during winter. The quarterly load factor was 84.4 percent, up three percentage points from the previous year’s period.

Weather Impacts Norwegian’s Punctuality In Winter

The percentage of flights leaving on time was 81.5 percent, a slight drop from 82.3 percent the year before. Winter weather in December affected flight schedules at major airports. The airline worked hard to get almost all passengers home for the holidays despite this. Cirium, an aviation consultancy, awarded Norwegian Air Shuttle (DY) the title of Europe’s most punctual airline for October. It also placed fifth for overall punctuality in 2023. Additionally, Norwegian leads in Europe for consistent performance.

Widerøe Acquisition Completed

In January, Norwegian expanded its aviation business by acquiring Widerøe, a leading regional airline in Norway. This strategic move brought Norwegian a fleet of 48 mostly turboprop aircraft. By integrating Widerøe’s routes with its own, Norwegian aims to achieve considerable operational synergies. Additionally, this acquisition allows Norwegian to diversify further, thanks to Widerøe’s extensive commitment to public service obligation (PSO) flights.

“We are now in the process of onboarding Widerøe as part of the Norwegian group. I very much look forward to exchange decades of experience between the two airlines. This will enable us to go to the market with an improved and more comprehensive offering to our customers,” said Karlsen.

Norwegian Dividend and Financial Outlook

Norwegian’s Board of Directors proposes a dividend of NOK 0.60 per share for 2023 to the annual general meeting 2024. Distributing the dividend must be approved by holders of the company’s debt instruments. If the airline fails to obtain such approval, the Board will set aside the dividend amount in a fund for later distribution.

The airline reports encouraging booking trends. A longer booking curve compared to the two previous years gives improved visibility. For the full year of 2024, Norwegian forecasts an overall production (ASK) of around 36,000 million seat kilometers. That represents a growth of approximately 12 percent from 2023. The company projects profits for 2024 to improve and expects an operating profit (EBIT) to be in the range of NOK 2.5 to 3.2 billion.

Norwegian will keep a reduced capacity level for the remainder of the winter season in keeping with lower seasonal demand. In March, Norwegian will ramp up capacity into the busy travel season. The airline’s fleet will grow to approximately 90 aircraft for the peak summer 2024 season.

Norwegian reports its customers value the airline’s strong punctuality and the attractive and growing route network. The acquisition of Widerøe will enhance Norwegian’s status as a preferred travel partner in the Nordics.

Norwegian Financial Q4 2023 Report

people inside a commercial airplane
IATA: All Regions Show Strong Growth In Airline Passenger Demand

The International Air Transport Association (IATA) reported a significant increase in global airline…

Read More
PLAY’s Revenues Increased 66% Compared To Q1 Last Year

Fly Play hf. has published its financials for the first quarter of 2024. The airline experienced sub…

Read More
Finnair: Strikes Hurt Q1 Revenue & Result

Finnair reports on Q1 yields and operating cash flow remained good. Strikes hurt revenue and result.…

Read More
Norwegian Group Airlines Served 1.8 Million Passengers In March

In March, Norwegian had 1,544,289 passengers, while Widerøe had 276,413 passengers, totaling 1,820,7…

Read More
Finnair Sees Drop In Passengers, Rise In Cargo in March

Finnair’s year-on-year passenger traffic figures declined, but cargo figures improved.  Finnai…

Read More
Swedavia Airports Greeted Almost 2.5 Million Passengers In March

March saw a rise in travelers using Swedavia’s airports, reaching nearly 2.5 million passenger…

Read More
Copenhagen Airport Revenue Rises By 15% With Strong Passenger Demand

Copenhagen Airport reported a pre-tax profit of DKK 398 million ($56.9 million) for 2023, signaling …

Read More
AEGEAN Posts €168,7 Million Profit In 2023 With 15+ Million Passengers

AEGEAN delivers strong operating results and profitability in 2023, with 3 million more seats offere…

Read More
cabin of aircraft with passengers on board
IATA Reports Strong Air Travel Demand Strong In January

The IATA January 2024 passenger traffic report shows strong global demand for air travel. “2024 is o…

Read More
Norwegian Group Reports Strong February With 1.5m Passengers

Norwegian Group has published its February results, showing passenger growth and benefits from integ…

Read More
Strong Start For Air Cargo In 2024, IATA Reports

The International Air Transport Association (IATA) reported an impressive increase in global air car…

Read More
IAG Full Year 2023 Financial Results Show Strong Growth

The International Airlines Group (IAG) has published its full-year 2023 financial results, showing a…

Read More
Qantas Group Profit Drops 13% In H1 FY24

Qantas Group has published its HQ FY24 results, showing a 13% drop in profits partially offset by fr…

Read More
Qantas Reveals New A220 Cabin And Wi-Fi Plans

Qantas Group has presented its H1 2024 update while updating fleet plans, revealing the new A220 cab…

Read More
Malaysia Airlines Picks Thales Flight Safety Systems For A330neo

Malaysia Airlines Enhances A330neo Fleet with Thales Avionics for Improved Safety and Navigation Mal…

Read More
Emirates Is Hiring Cabin Crew: Delight In Luxurious Beauty Hub

Experience the Glamour at Emirates Beauty Hub: Your Perk as an Emirates Cabin Crew in Dubai Attentio…

Read More
SIA Group: Strong Q3 $659 Million Profit As Passengers Surge

SIA Group, which operates both luxury flagship carrier Singapore Airlines and low-cost airline Scoot…

Read More
SWISS Reflects On Strong Impact Of Departing CFO Markus Binkert

SWISS Chief Financial Officer Markus Binkert will leave the company after serving over 19 years. Mar…

Read More
Remarkable Turnaround: Norwegian Sets New Profit Record In 2023

Norwegian has published its financials for 2023, reporting a company-record operating profit (EBIT) …

Read More
Finnair Crew on the runway with a Finnair A350
Finnair Group Ends 2023 With Strong Financials As Market Grows

Finnair Group’s 2023 financial summary reflects steady resilience in 2023, benefiting from a d…

Read More
Qatar Airways and gategroup Partner for Innovative In-flight Dining

Qatar Airways has partnered with gategroup to redefine in-flight dining, focusing on quality, sustai…

Read More

Leave a Reply

Your email address will not be published. Required fields are marked *

Cookie Consent with Real Cookie Banner