Wizz Air Abu Dhabi predicts slower growth

January 23, 2025, 7:49 AM

Wizz Air is focusing on making its current fleet more efficient until it receives new aircraft

Navigating supply issues
Focus on efficiency
South Asia growth plan

Wizz Air Abu Dhabi expects slower growth in 2025 as delays of new aircraft deliveries, engine issues in some of its existing fleet and regulatory problems in some new markets affect its ambitious expansion plans.

The airline, a joint venture between Hungary’s Wizz Air Holding and Abu Dhabi’s state-owned investment holding ADQ, is navigating global supply chain constraints that have delayed deliveries from manufacturers such as Airbus and Boeing.

The budget carrier has also grounded about 40 Airbus A320neo family aircraft through 2026 because of issues with Pratt & Whitney engines, putting further pressure on its fleet.

Johan Eidhagen, managing director of Wizz Air Abu Dhabi, told AGBI he expected single-digit growth in passengers in the first half of the year.

“We don’t have any new aircraft deliveries in the first half, so we’re focusing on making our current fleet more efficient – flying them more, turning them around faster, and filling more seats on board,” Eidhagen said.

Wizz Air carried more than 3.5 million passengers in 2024, marking a 20 percent year-on-year increase and contributing 25 percent of Zayed International Airport’s point-to-point traffic.

Clothing, Formal Wear, Suit Eidhagen sees strong potential in Saudi Arabia — Eidhagen says it is a ‘transition period’ for the airline

It operates to 34 destinations, with a fleet of 12 Airbus A320 and A321 aircraft.

Growth in 2025 is going to be slower than previous years because the new aircraft models that can fly to further locations will not come into the fleet until the second half of this year or the beginning of next year, Eidhagen said.

The airline is due to receive Airbus A321XLR (Xtra Long Range) jets, which will extend its flight range from 4,700km to 8,700km and open new route opportunities in more distant markets within an eight-hour flight from Abu Dhabi.

“That would give us reach further into Africa and further into Europe,” Eidhagen said.

“You can’t always just grow, grow, grow,” he said. “It’s a transition period for us because we have the XLR coming in … we also have to make our current product better.”

Eidhagen said Wizz Air remains flexible in allocating capacity.

“We have access to aircraft if we need it,” he said. “[But] when there is a limited global supply, you have to be very selective about where you put your aircraft.”

The airline has identified South Asia as a key growth market, particularly India and Pakistan, which are home to large expatriate populations in the UAE. However, regulatory hurdles have delayed entry into these regions so far.

“These are long-term markets that take longer than usual to access,” Eidhagen said.

Wizz Air Abu Dhabi has increased capacity on popular routes by 40 percent, including Azerbaijan’s capital, Baku, Yerevan in Armenia and Kutaisi in Georgia, and added routes to secondary airports, including Cluj in Romania and Varna in Bulgaria.

It is also increasing flights between Abu Dhabi and Tel Aviv after the ceasefire agreement between Israel and Hamas.

The airline also believes there is strong potential in Saudi Arabia, where it operates twice daily to Medina, despite competition from the soon-to-launch Riyadh Air.

“It offers a fantastic option for people who want to come to Abu Dhabi, stay a night or two, and then go on for Umrah or other religious travel,” Eidhagen said.

He said there was also an emerging trend of professionals commuting between Saudi Arabia and the UAE, while their families stay in Abu Dhabi.

Wizz Air competes with carriers such as IndiGo and others with similar business models, but Eidhagen said the UAE market lacks a direct low-cost rival. Abu Dhabi is one of its fastest-growing bases globally, he said.

“We do compete a little bit with Etihad, which is the same size as us on point-to-point in Abu Dhabi, but 75 percent of their business is transit passengers,” Eidhagen said.

Etihad was more in competition with Emirates in Qatar, while Wizz Air focused on point-to-point travel, he said: “Here in the UAE, there’s no real direct competitor.”