Butikten Zirveye 20 Yıl Gelecek 10 Yıl
20 YEARS FROM BOUTIQUE TO TOP THE NEXT YEARS
TABLE OF CONTENTS
07 09 24 42 50 58 68 84
Foreword
From boutique airline to top of the world in 20 years A 20-year journey to the top of a 90-year success story
Fleet growth
Expanding flight network
Financial progress
Türkiye’s global brand
The world’s most hospitable airline
96 An award-winning travel experience 106 Satisfaction-oriented customer experience 118 AnadoluJet 122 Turkish Cargo 128 Flight Training Academy 132 Subsidiaries and affiliates 144 Commercial partnerships 150 Mega Move 160 Turkish Airlines during the pandemic
166 Sustainability 175 Future outlook 202 Acknowledgement
20 YEARS FROM BOUTIQUE TO TOP THE NEXT
YEARS
FOREWORD
As we leave behind the first 100 years of our Republic, we are rapidly moving forward to achieve even more ambitious goals.
As we realized the projects we promised to our nation one by one, we added significant value to Türkiye’s economy.
One of the most important goals we set when we took office was to take Turkish Airlines, our national flag carrier brand, to the very top of the global aviation industry.
To this end, we have made tremendous strides over the last 20 years.
We transformed a regional brand with limited reach into a global powerhouse that is one of Türkiye’s best known brands in the world today. This major achievement has made us very proud. Over these two decades, despite global political, social, and economic setbacks and negative developments such as the Covid-19 pandemic, we have steadily and diligently grown Turkish Airlines with new investments.
As a country, Türkiye is now a global player in the aviation field thanks to the success of Turkish Airlines.
Once again, Turkish Airlines set new records in 2023, demonstrating its ongoing excellence and superiority.
Turkish Airlines, now a preferred brand for millions around the globe, is leading the world aviation sector.
Over the last 20 years, Turkish Airlines has extended its wings to 129 countries on five continents, making flying the preferred mode of transportation for people worldwide.
Istanbul Airport, built without costing a penny to the country’s Treasury, has added momentum to Turkish Airlines’ rise.
Thanks to the exceptional passenger experience provided by Turkish Airlines, Istanbul Airport has set an example to the world and garnered many prestigious awards.
In 2023, Turkish Airlines celebrates its 90 th anniversary as we celebrate the centenary of the Republic of Türkiye.
During this very important year, I would like to thank the Turkish Airlines family for representing Türkiye and the Turkish nation all around the world.
I sincerely believe that we will achieve even greater success together with our nation who supports our country’s valuable asset, Turkish Airlines.
Recep Tayyip ERDOĞAN President of Türkiye
FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD IN 20 YEARS
Distinguished Friends,
As we celebrate our 90 th anniversary as the national flag carrier airline, Turkish Airlines represents our country and people around the world. As the airline flying to more countries and international destinations than any other with our Istanbul Airport-based flight network, we proudly carry our values that make us who we are to every corner of the globe. At Turkish Airlines, we build bridges between continents, people and cultures. Over the last two decades, Turkish Airlines has recorded one of the fastest growth performances in terms of its flight network, fleet size, passengers carried, and balance sheet size globally. Today, Turkish Airlines has completed its transformation from a regional brand to a global player thanks to its major moves in infrastructure development. We have written a unique success story in both passenger and cargo transportation. Serving 10 million passengers with 65 aircraft in 2003, Turkish Airlines has experienced tremendous pride by welcoming its one billionth passenger recently. Over the last 20 years, we have expanded our aircraft fleet by more than six times and increased our passenger numbers by over eight times. As Türkiye’s most valuable brand and biggest service exporter, Turkish Airlines has boosted its total revenue more than 10 times during the same time period. In 2022 alone, Turkish Airlines contributed more than USD 50 billion to Türkiye’s economy. Turkish Airlines has played a major role in developing the country’s tourism sector. In addition, Turkish Cargo has introduced the country’s products to the entire world. Over the past 20 years, we have all witnessed very challenging periods that have affected the whole world and caused significant volatility in the aviation sector, such as global financial crises, acts of terrorism and the Covid-19 pandemic. The heroes who carry Turkish Airlines from success to success even in these difficult conditions are Turkish Airlines employees. Our valued employees never compromise their sense of duty and responsibility, and set an example for the world with their dedication and determination. Today, the Turkish Airlines Family, a leading brand in the global aviation sector, includes 17 subsidiaries across the value chain and 75,000 members at every level of the organization. Turkish Airlines is ready to leave its mark on the coming period as well with its vision for the future, as it has done over the past 20 years. In this book titled ‘20 Years from Boutique to Top, the Next Ten Years’ we have addressed the tremendous distance covered by our brand, assuming the role of driving force in the intensely competitive aviation industry. We would like to express our gratitude once again to our President H.E. Recep Tayyip Erdoğan, who paved the way for this success, set the vision of Turkish aviation to reach the top of the world and whose strong backing we have always felt. We also give thanks to all our state officials, institutions, organizations, stakeholders and passengers for their ongoing support.
We wish you pleasant reading...
Prof. Ahmet BOLAT Chairman of the Board of Directors and Executive Committee Turkish Airlines
WE CIRCLE THE EARTH 71 TIMES EVERY DAY
On average, 2,194 Pilots and 5,466 Cabin Crew Members are on duty every day.
We perform a flight every 59 seconds.
We carry 249,423 passengers on average.
We carry an average of 4,761 tons of cargo.
We recycle an average of 6.2 tons of waste.
We load 241,756 catering products on average.
An average of 723,784 people use our website and mobile application.
On average, 987 GB of internet is used.
On average, 12,231 people use our Business Lounges.
We print 185,000 boarding cards on average.
Our airplanes stay in the air for an average of 3,972 hours every day. This figure corresponds to 165 days.
We cover an average of 2,837,397 km. We go around the world 71 times.
Daily average for August 2022.
20 YEARS FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD
FLEET GROWTH Our fleet is set to grow 6.7 times compared to 2003 and reach 435 aircraft in 2023.
435
65
20 YEARS FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD
EXPANDING FLIGHT NETWORK
In 2023, Turkish Airlines will fly to a total of 350 destinations
around the globe - the most countries and international destinations of any other airline worldwide.
350
103
20 YEARS FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD
OUR GROWING FAMILY Our family has grown steadily for 20 years. Even under pandemic conditions, the Turkish Airlines family remained together. In 2023, our huge family will include 82,000* members worldwide.
82,000
10,539
* Upon establishment of TSS, employees in the subcontracting company are included.
20 YEARS FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD
PASSENGER DEVELOPMENT Over the past 20 years, the number of guests we have hosted in the skies has grown more than eight times.
86+ MN
10.4 MN
20 YEARS FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD
REVENUE GROWTH As Türkiye’s global flag carrier, our total revenue will exceed USD 19 billion in 2023, more than 10 times higher compared to 20 years earlier.
19+ BN US DOLLARS
1.7 BN US DOLLARS
20 YEARS FROM BOUTIQUE AIRLINE TO TOP OF THE WORLD
AN AWARD-WINNING TRAVEL EXPERIENCE
SKYTRAX AWARDS APEX AWARDS
Best Airline in Southern Europe 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017, 2022 World’s Best Economy Class Onboard Catering 2010 Europe’s Best Airline 2011, 2012, 2013, 2014, 2015, 2016, 2022 Best Premium Economy Class Airline Seat 2011, 2012
APEX World Class 2022, 2023
APEX – 5 Star Global Airline 2018, 2019, 2020, 2021, 2022, 2023
Best Entertainment in Europe 2023
Europe’s Best Food & Beverage 2022, 2023
Europe’s Best Seat Design 2022
Health Safety Diamond Status (Highest Degree in Health Safety) 2021
World’s Best Business Class Catering 2013, 2014, 2016, 2017, 2022
Best Business Class Lounge Dining 2014, 2015, 2016, 2017, 2018
World’s Best Business Class Airline Lounge 2015, 2017, 2018
Europe’s Best Economy Class 2022
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A 20-YEAR JOURNEY TO THE TOP OF A 90-YEAR SUCCESS STORY As one of the most established airlines in the world, we have taken our national brand to much higher
On May 20, the State Airlines Administration was established under the Ministry of National Defense and began flights with a fleet of five aircraft. 1933
Catering service started. 1940
The first international flight was made on February 12 with a DC-3 type aircraft on Ankara-Istanbul- Athens route. 1947
Turkish Airlines Inc. was established on March 1. 1956
levels, thanks to significant achievements over the last 20 years.
The Incorporation was reclassified as a State Economic Enterprise. 1984
Far East flights started on June 1 with the launch of the Singapore route with A310 aircraft. 1986
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1988
Brussels-connected flights to New York started on August 26 with A310 aircraft.
The frequent flyer program started. 1989
1994
Direct flights to New York began on July 16 using A340-300 aircraft.
The website thy.com was launched. 1996
The Turkish Cargo brand was created within Turkish Airlines. 2000
Flights from Sabiha Gökçen Airport to Ankara began on January 29. 2001
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2004
The largest aircraft purchase decision in the history of the Incorporation was made: The purchase of 59 aircraft was contracted.
The first A321 aircraft was introduced to the fleet.
A310F joined the fleet as the first freighter.
Customer relations online service was launched.
The HABOM project was put into operation.
On April 30, domestic flights were launched from Sabiha Gökçen Airport on the Anatolian side of Istanbul. 2005
On December 15, 2005, Türkiye’s first A330 joined the fleet.
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2006 On May 23, Turkish Technic Inc., which is an entity 100% owned by Turkish Airlines, became a subsidiary.
Türkiye’s first IOSA Operator certificate was obtained.
The Flight Training Academy was established.
On May 18, Turkish Airlines became an incorporated company from a state-owned enterprise with 49% of its shares owned by the state through a secondary public offering (SPO). On September 27, a subsidiary, Turkish Do&Co Inc., was established to provide catering services for Türkiye based operations. The frequent flyer program was rebranded as Miles&Smiles, and members were introduced to the four level card system. Prof. Temel Kotil became the first Turkish executive elected to the IATA Board of Directors.
On August 17, 2006, the 100 th aircraft was added to the fleet.
2007 Skytrax raised the star rating of Turkish Airlines to 4 stars.
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2008 The 250 millionth passenger was carried. Turkish Airlines was named the “Best Airline in Southern Europe” by Skytrax.
Boeing 777-300ER aircraft joined the fleet through wet-lease .
The IATA General Assembly was hosted by Turkish Airlines for the first time in Türkiye on June 2-3. TGS Ground Services Inc. was established on August 26 as a 50% joint venture between Turkish Airlines and Havas Ground Handling Co . On October 10, Turkish Technic Inc. signed a joint venture agreement with Pratt & Whitney of the USA, one of the world’s leading engine and engine parts manufacturers, to establish a large-scale engine maintenance center.
Following the signing ceremony on April 1, 2008, Turkish Airlines became the 20 th member of Star Alliance.
AnadoluJet started flights on April 23, 2008.
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2009
On September 18, Turkish Opet was established as a 50% joint venture between Turkish Airlines and OPET Oil Trade Inc. mobil.thy.com, Türkiye’s first mobile airline application, was launched. Despite the global crisis, the Incorporation achieved the highest growth among member airlines of the Association of European Airlines. Turkish Airlines was named the “Best Airline in Southern Europe” by Skytrax. Turkish Airlines received the Aircraft Finance Journal’s “European Deal of the Year” award.
Collaboration with Oscar- winning actor Kevin Costner for global brand communication started.
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2010
On September 29, the first A330F joined the cargo fleet.
On December 14, Goodrich Turkish Technic was established as a 40%- 60% joint venture between Turkish Airlines and TSA Rina Holdings B.V., a subsidiary of Goodrich. With the launch of the European Basketball League sponsorship, the league was renamed the “Turkish Airlines Euroleague.” Turkish Airlines was named “World’s Best Economy Class Onboard Catering” by Skytrax. Caroline Wozniacki, a top name in world women’s tennis, joined the ranks of brand ambassadors.
Kobe Bryant, one of the legendary names of world basketball, was signed as a brand ambassador.
Passengers were introduced to Flying Chefs in the sky.
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2011
In 2011, Turkish Airlines was named “Europe’s Best Airline” by Skytrax.
The international CIP lounge at Atatürk Airport was renovated.
Live television and wireless internet services were offered to passengers for use during the flight. On May 13, TCI - Cabin Interior was established with a 30% stake held by Turkish Airlines, 21% by Turkish Technic Inc., and 49% by Turkish Aerospace Industries Inc. On June 2, TSI Aviation Seats was established with a 45% interest held by Turkish Airlines, 5% by Turkish Technic Inc., and 50% by Assan Hanil Group.
Lionel Messi was signed for global brand communication.
The website was launched to visitors with a new design.
2012
Turkish Airlines became the airline flying to the most countries in the world. On June 21, Turkish Airlines Aydın Çıldır Airport Operation Inc. was established as a 100% subsidiary.
The flight network expanded to 200 destinations.
The 200 th aircraft joined the fleet on November 13, 2012.
Thirty-four new routes were launched, the most route launches in a single year..
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2013
Turkish Airlines became the second-largest airline in terms of passenger transport in Europe. Turkish Airlines received awards for “Europe’s Best Airline,” “Best Airline in Southern Europe,” and “World’s Best Business Class Catering” at the Skytrax Awards ceremony.
The new global motto became “Widen Your World.”
Turkish Airlines placed the largest order for aircraft in its history: 212 aircraft.
Turkish Airlines Corporate Club product was launched.
The Invest on Board platform was established for investors flying with Turkish Airlines, allowing entrepreneurs to promote their companies via in-flight screens. General Manager Prof. Temel Kotil, was elected Vice President of the Association of European Airlines for 2013 and Chairman of the Board of Directors of the Association of European Airlines for 2014 and 2015.
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2014 A global brand awareness level of 63% was reached thanks to effective investments.
The Shop&Miles online shopping site was established.
Aircraft Galley was introduced as the first domestic cabin galley product. HABOM started operations at Istanbul Sabiha Gökçen Airport in June.
The Touristanbul service was launched.
The first locally designed airplane seat was produced.
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2015
The 500 millionth passenger was carried.
The First Sustainability Report was published.
Turkish Cargo received the “Cargo Airline of the Year” and the “Best Cargo Airline in Europe” awards from Air Cargo News Magazine. Net profit exceeded USD 1 billion for the first time, climbing to USD 1 billion 69 million. Turkish Airlines was named “Europe’s Best Airline” by Skytrax for the fifth consecutive year.
Service started at the new cargo terminal with a capacity of 1.2 million tons.
2016 Turkish Airlines was named “Europe’s Best Airline” by Skytrax for the sixth consecutive year. By sponsoring Batman vs. Superman: Dawn of Justice, Turkish Airlines became the first airline to take part in a fictional universe. As the “Official Airline Partner” of the 2016 UEFA European Championship, Turkish Airlines achieved a first in the 58-year history of the championship with this sponsorship.
On February 5, 2016, the 300 th aircraft was received.
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2017
The Incorporation was named a “5 Star Global Airline” at the APEX Passenger Choice Awards. In addition to being named “Best Airline in Southern Europe” by Skytrax nine times successively, our Incorporation won the “World’s Best Business Class Catering,” “World’s Best Business Class CIP Lounge,” and “Best Business Class CIP Lounge Catering” awards.
The “Fly Good Feel Good” initiative was implemented.
A new service, in-flight cell phone use, was activated.
At 71%, the highest level of brand awareness in the history of the Incorporation was reached. The 49.12% stake of Turkish Airlines owned by Republic of Türkiye Prime Ministry Privatisation Administration was transferred to the Sovereign Wealth Fund of Türkiye as of February 3.
A new commercial starring Oscar-winning actor Morgan Freeman was unveiled during the Super Bowl broadcast.
The Stopover initiative was launched.
On November 30 and December 22, the first B777F freighter joined the fleet.
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2018
On July 12, new generation A320/321 NEO started to be delivered to the narrow-body fleet followed by B737 MAX 8/9 aircraft on August 17.
The 750 millionth passenger was carried.
Turkish Airlines Lounge Istanbul won the “Best Business Class CIP Lounge” award for the second consecutive year in the world rankings. Turkish Airlines also won the “Best Business Class CIP Lounge Catering” award for the fifth time in a row. On October 17, a joint venture company - Cornea - was established between Turkish Technic Inc. and Havelsan to operate in in-flight entertainment systems and internet service.
Sixty A350-900 and B787-9 aircraft were ordered, the largest wide-body aircraft order in the history of the Incorporation.
A new visual identity was designed with the concept of “Flow.”
After the relocation to Istanbul Airport, Turkish Airlines underwent a renewal process, including a change in its logo and overall corporate identity. As part of this effort, cabin uniforms were also changed.
Istanbul Airport was opened on October 29, 2018.
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2019
Boeing 787-9 Dreamliner aircraft started to be delivered as of June 25. On March 11, the first seven operational facilities were inaugurated as part of Istanbul Airport investments.
On March 20, the crew terminal building was inaugurated.
The cabin interior and seat designs of the B787-9 and A350- 900 aircraft, which started to join the fleet in 2020, were shaped in line with passenger requests and current trends, breathing new life into the brand. Turkish Airlines became the 10 th largest airline in the world with a fleet of 350 aircraft.
In April, the process of moving to Istanbul Airport (aka the Mega Move) was completed.
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2020 On February 21, TFS Fuel Services Inc. was established to operate fuel supply facilities. Istanbul Airport became the airport serving the most passengers in Europe.
As of October 22, A350-900s started to join the fleet.
Turkish Airlines was awarded Diamond status, the highest level in the health and safety category, by SimpliFlying. Turkish Airlines Technology Inc. was established on December 8, as a 100% subsidiary of Turkish Airlines. With Turkish Airlines’ open innovation strategy and technology-focused approach, the Terminal platform was established to bring together new generation startups and technology lovers to shape the future of travel together.
Turkish Cargo was named “Cargo Airline of the Year” at the Aircargo News Awards.
AnadoluJet launched international routes.
On August 31, Istanbul Airport aircraft maintenance hangars were inaugurated. Turkish Airlines became the first airline to hold IATA CEIV certification in three different categories: Pharmaceutical, Fresh and Live Animal.
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2021
Turkish Airlines was awarded APEX Diamond status thanks to its exceptional Covid-19 hygiene measures. Turkish Airlines was named as one of the top three global airlines by Conde Naste Traveler readers. Turkish Airlines+Anadolujet ranked first in the international available seat kilometer category among all Network + LCC carriers. On July 29, the Istanbul Airport Main Cargo (SmartIST) building was opened.
Turkish Airlines was honored with the “APEX World Class Award” presented to an airline for the first time.
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2022 The Turkish Airlines Holidays product , which enables passengers to manage all their vacation needs from a single point, was launched. Turkish Airlines was once again named “Europe’s Best Airline” at the Skytrax awards in 2022. Turkish Airlines was designated as “Design Airline of the Year Europe, 2022” at TheDesignAir awards. Turkish Airlines was named Türkiye’s Most Valuable Brand by Brand Finance for the fifth consecutive year. Turkish Airlines became the world’s largest network carrier in terms of seat capacity on international flights.
Turkish Airlines became the first airline to directly qualify for the highest level certification in IATA’s IEnvA (Environmental Assessment) program. The “CO 2 mission” program was launched, offering travelers the opportunity to offset the carbon emissions of their flights by supporting sustainable development projects. Turkish Airlines was the “2022 Sustainability Award” by World Finance. Turkish Airlines became the first airline sponsor in the history of the UEFA Champions League. Turkish Airlines became a participant in the UN Global Compact, the world’s largest corporate sustainability initiative.
AnadoluJet’s fleet size climbed to 60 aircraft.
Turkish Cargo’s flight network expanded to 100 destinations.
Biofuel began to be used regularly on flights.
Turkish Cargo consolidated all its operational processes in its new home, SMARTIST.
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2023
Turkish Airlines was presented with the “5 Star Global Airline” award by the Airline Passenger Experience Association (APEX) for the sixth consecutive year and the “APEX World Class Award” for the second consecutive year for its exceptional service standard. On February 24, the 400 th aircraft was received. In April, the 1 billionth passenger was transported. As of April, the catering menus offered to passengers were renewed.
The “Planet” inflight entertainment platform was named “Best Entertainment in Europe” by the 2023 APEX Passenger Choice Award. The scope of free internet packages offered to passengers on international flights was expanded, and free and unlimited messaging packages started to be offered to all passengers with Miles&Smiles membership.
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FLEET GROWTH
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ONE OF THE YOUNGEST AND MOST ADVANCED FLEETS IN THE WORLD
In 2003, the Turkish Airlines fleet consisted of 65 aircraft. Over the last 20 years, the fleet has expanded 6.7 times with orders for 424 aircraft, including 126 wide-body, 281 narrow-body, and 17 freighters. As a result, Turkish Airlines is one of the largest and most competitive airlines in the world today.
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A310F freighter, A321 and A320 aircraft started operations in the fleet in 2004, followed by A330-200 aircraft in 2005 and A319 aircraft in 2006. In 2008, the first B777-300ER aircraft were added to the fleet, a major step forward in international transportation of both passengers and cargo.
In 2010 and 2011, A330-300 and B737-900ER aircraft joined the Turkish Airlines fleet, supporting the expansion of the network in the Americas, Asia, and Africa. In 2013, the largest aircraft order in the history of the Incorporation was placed with 212 aircraft. The first new generation narrow body passenger aircraft, A321NEO and B737MAX, joined the fleet in 2018.
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With air cargo transportation gaining importance globally, the A330-200F freighter, which started operations in 2010, made a significant contribution to the expansion of the Turkish Airlines freighter network. Additionally, growth of the cargo fleet was maintained with the B777F freighter featuring high payload capacity, which joined the fleet in 2017. Turkish Airlines plans to expand its fleet to 435 aircraft by year-end 2023.
In 2018, the largest wide-body aircraft order in the history of the Incorporation was placed for 60 aircraft. In 2019 and 2020, the new generation wide-body aircraft B787 and A350 aircraft joined the Turkish Airlines fleet, thus increasing the wide-body passenger fleet family in the fleet to four types. The 100 th aircraft joined the Turkish Airlines fleet in 2006, the 200 th in 2012, the 300 th in 2016, and the 400 th in 2023.
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NARROW BODY
RJ-100 Seat Capacity: 99
B737-400/500 Seat Capacity: 150
E190/195 Seat Capacity: 110/118
B737-800 Seat Capacity: 151
B737-900ER Seat Capacity: 151
A319-100 Seat Capacity: 132
A320-200 Seat Capacity: 159
A321-200 Seat Capacity: 180
A320 NEO Seat Capacity: 186
B737 MAX 8 Seat Capacity: 151
B737 MAX 9 Seat Capacity: 169
A321 NEO Seat Capacity: 182
SEAT CAPACITY 2003
Wide-Body
3,192
Narrow-Body
7,406
Total
10,598
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WIDE BODY
A340-300
A330-200
A330-300
Seat Capacity: 270
Seat Capacity: 279
Seat Capacity: 289
B777-300ER Seat Capacity: 349
B787-9 DREAMLINER
A350-900
Seat Capacity: 300
Seat Capacity: 329
FREIGHTER
A300-600F
A310-300F
A310F
Cargo Capacity: 37 tons
Cargo Capacity: 54.6 tons
Cargo Capacity: 39 tons
A330-200F
B747-400F
B777F
Cargo Capacity: 106 tons
Cargo Capacity: 65 tons
Cargo Capacity: 102 tons
SEAT CAPACITY 2023
Wide-Body
37,350
Narrow-Body
51,243
Total
88,593
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TURKISH AIRLINES FLEET AT YEAR-ENDS
2003 2004 2005 2006 2007 2008 2009 2010 2011
RJ70/100
11
9
4
A310-300
5
5
6
6
5
2
B737-400/500
16 17
17
17
10
9
4
3
3
E190/195 A340-300
7
7
7
7
7
9
9
9
9
A300-600F B737-700/800/900
26 26 27
41
41
53 57 66 70
A319/320/321
11
21
26 31
43 47 50 65
A310-300F
1
1
1
2
4
4
4
4
A330-200/300
2
5
5
5
7
11
14
B777-300ER
2
4
9 12
A330-200F
1
2
B747-400F B777F
A320/321 NEO B737 MAX 8/9 B787-9 A350-900 TOTAL
65 76 85 103 101 127 132 153 179
* Number of aircraft planned for year-end 2023.
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2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
3
6
7
7
5
4
4
4
4
1 1 82 94 107 111 126 124 115 113 112 108 102 100 74 88 90 99 108 99 94 91 85 83 82 96 3 3 3 3 3 3 3 2 2 2 2 2 17 20 34 46 51 53 55 58 54 51 50 48 12 15 16 23 32 33 33 33 33 33 33 33 4 6 6 7 8 91010101010 12 1 1 3 4 4 1 2 2 5 6 8 8 8 8 2 14 25 31 47 60 7 12 12 24 32 35 6 15 15 16 23 2 5 11 16 202 233 261 299 334 329 332 350 363 370 394 435* 1 1 1
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EXPANDING FLIGHT NETWORK
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Online Destinations
Offline Destinations
THE AIRLINE THAT FLIES TO THE MOST COUNTRIES IN THE WORLD
In 2003, Turkish Airlines flew to only 77 international destinations. Since that time, Turkish Airlines has grown rapidly in the world’s deepest passenger markets in line with its strategy to become a global airline by capitalizing on Istanbul’s geographic location, a natural transfer point between east and west. 2012 saw the most new international destinations launched in a single year. Thirty-two new international destinations were added to the network, and Turkish Airlines became the airline that flies to the most countries in the world.
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Prior to 2012, Turkish Airlines primarily focused on carrying passengers at short distances within the Europe-Middle East region. However, with the introduction of 737- 900ER aircraft equipped with additional fuel tanks in 2011, Turkish Airlines has become a major player in the African market. This expansion had a positive impact on both business and leisure passenger traffic, leading to swift and impressive outcomes. Thanks to the African expansion initiative, 30 new African destinations were added to the Turkish Airlines flight network between 2012 and 2015 alone, and 1.7 million additional passengers were carried with a CAGR of 13.9% between 2012 and 2015. Growth in the African market has also contributed to the international transfer passenger market and load factor. Today, Turkish Airlines has 62 African destinations in its network. Turkish Airlines is the airline that flies to the most international destinations in Africa, even though it is not based in Africa. In addition to the African expansion, as a requirement of being one of the leading global airlines, long- haul expansion started simultaneously. With the Boeing 777-300ER and Airbus A330 aircraft added to the fleet after 2008, a total of 30 new destinations, including 17 long-haul destinations, were opened in the Asia & Far East and the Americas regions between 2010 and 2016.
Turkish Airlines has 62 African destinations in its flight network.
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As of 2019, the new generation competitive Boeing 787-9 and Airbus A350 wide-body fleet has spurred growth in long- haul intercontinental routes once again. A total of 16 destinations in the Americas and Asia & Far East regions, including eight long-haul destinations such as Bali in Indonesia, Mexico City and Cancun in Mexico, and Vancouver in Canada, have joined the flight network. During this period, Newark, Dallas and Seattle routes were opened in the USA, and the number of destinations in the USA increased to 12. Turkish Airlines has achieved major expansions with its effective network and marketing strategies. Since 2012, Turkish Airlines has been the airline that files to the most destinations in the world. That year, Turkish Airlines launched flights to 32 new international destinations – the most ever in a single year. For more than 10 years, Turkish Airlines has held this title. Today, Turkish Airlines is a global brand with its organic growth strategies and the world’s strongest network structure: 344 destinations in 129 countries and 338 cities. Turkish Airlines also hosted its 1 billionth passenger this year, the 90 th anniversary of its establishment.
WELCOME ON BOARD:
The airline that flies to more countries than any other now flies to one more destination.
MEXICO
The new generation wide-body aircraft added to the fleet in 2019 has spurred growth on Turkish Airlines’ intercontinental routes once again.
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TURKISH AIRLINES HAS BECOME THE AIRLINE THAT FLIES TO THE MOST COUNTRIES IN THE WORLD WITH ITS ROUTES OPENED OVER THE LAST 20 YEARS.
2003
2005
2006
2007
2008
SIVAS
ADIYAMAN KARS ASTANA CASABLANCA LISBON LONDON (STN) OSLO
ABU DHABI ADDIS ABABA BELGRADE DNIPRO DOHA DONETSK DUBLIN DUSHANBE HELSINKI KAZAN KHARTOUM LAGOS LJUBLJANA MINSK
ESKISEHIR HATAY SANLIURFA
AMASYA/MERZIFON SINOP ALEPPO BAGHDAD BIRMINGHAM
BATUMI MEDINA
MUMBAI MUSCAT RIGA ROSTOV SANA’A ST. PETERSBURG TABRIZ VENICE YEKATERINBURG
2009
2010
2011
2012
2013
CANAKKALE CORLU USAK BENGHAZI DAKAR GOTHENBURG JAKARTA LVIV MASHHAD NAIROBI SAO PAULO TORONTO UFA
BALIKESIR- EDREMIT BURSA SIIRT
AGRI BASRA DAMMAN ERBIL GENOA GUANGZHOU ISLAMABAD KABUL LONDON (LGW) LOS ANGELES
IGDIR KUTAHYA AALBORG ABIDJAN ADEN BILBAO
BINGOL ISPARTA KASTAMONU
SIRNAK AQABA COLOMBO CONSTANTA FRIEDRICHSHAFEN HOUSTON KANO KATHMANDU KUALA LUMPUR LAHORE LIBREVILLE LUXEMBOURG MALTA MARSEILLE MAZAR-I-SHARIF N’DJAMENA QASSIM SALZBURG SANTIAGO DE COMPOSTELA
TOKAT ACCRA ALEXANDRIA BOLOGNA DAR ES SALAAM DHAKA ENTEBBE HO CHI MINH CITY
BILLUND BREMEN BUENOS AIRES DJIBOUTI DOUALA EDINBURGH GANJA HURGHADA ISFAHAN KERMANSHAH KIGALI KILIMANJARO KINSHASA LEIPZIG MALE MOGADISHU MOMBASA NIAMEY
MALAGA MISRATA MOSUL NAJAF NAPLES SHIRAZ
NAKHCHIVAN PODGORICA SOCHI WASHINGTON
SULAYMANIYAH THESSALONIKI TOULOUSE TURIN VALENCIA
TALLINN VILNIUS
NOUAKCHOTT NOVOSIBIRSK OSH OUAGADOUGOU SABHA SHARM EL-SHEIKH TAIF ULAANBAATAR YANBU YAOUNDÉ
2014
2015
2016
2017
2018
ANTALYA (GZP) ASMARA ASTRAKHAN BATNA BORDEAUX BOSTON CATANIA CONSTANTINE COTONOU KHERSON MONTREAL MÜNSTER ORAN PISA ROTTERDAM STAVROPOL TLEMCEN VARNA
HAKKARI KOCAELI ORDU-GIRESUN
ATLANTA BOGOTA CARACAS CLUJ DUBROVNIK HANOI HAVANA IVANO-FRANKIVSK KOSICE
CONAKRY KHARKIV PHUKET SAMARA VORONEZH
BANJUL FREETOWN KRASNODAR LUSAKA MORONI SAMARKAND
ABUJA AHVAZ
ANTANANARIVO BADEN-BADEN BAMAKO BARI DURBAN GRAZ KHUJAND MANILA MAPUTO MIAMI PORT LOUIS PORTO SAN FRANCISCO TAIPEI ZAPORIZHIA
PANAMA CITY SEYCHELLES ZANZIBAR
2019
2020
2021
2022
2023
ZONGULDAK BALI/DENPASAR CANCUN LUXOR MARRAKECH MEXICO CITY POINTE-NOIRE PORT HARCOURT ROVANIEMI SHARJAH STRASBOURG XI’AN
MALABO TOKYO (HND)
AKTAU DALLAS FERGANA
RIZE-ARTVIN BERGAMO BUKHARA
KRAKOW PALERMO
LUANDA NEWARK TURKESTAN URGENCH URMIA VANCOUVER
CEBU JUBA KIRKUK SEATTLE TIVAT TURKMENBASHI
FINANCIAL PROGRESS TURKISH AIRLINES’ FINANCIAL DEVELOPMENT STORY WITH ITS LEADING, COMPETITIVE AND INNOVATIVE STRUCTURE
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Turkish Airlines boosted its load factor to a high level of 81% in 2022. Having successfully completed the Mega Move in 2019, one of the largest relocation operations the civil aviation industry has ever seen, Turkish Airlines started its operations at Istanbul Airport, the largest airport in Europe. With this move, Turkish Airlines achieved a major increase in its operational efficiency. The increase in on- time departure-arrival rates and passenger satisfaction contributed to a further increase in brand value. Thanks to the strategic location and structure of Istanbul Airport, our Incorporation has increased its share in transit passenger transportation and has become more resilient to crises by boosting its diversity in passenger operations. Due to its strategic location, Istanbul Airport provides Turkish Airlines with an advantage in connecting the Europe, Middle East, Central Asia and North Africa regions, which account for more than 40% of all international air traffic worldwide and include more than 55 national capitals.
Strong growth, record profit over the last 20 years Turkish Airlines has increased its balance sheet assets 13 times with its fleet that has been modernized and developed over a 20-year period. Financially healthy and profitable growth has been achieved by its diversified income structure and effective cost management. In this way, Turkish Airlines boosted its net profit from USD 143 million in 2003 to USD 2,725 million in 2022 – up 18 times and recording the highest profit in its history. Despite many negative events experienced on a global scale in the last 20 years, our Incorporation has maintained its growth momentum thanks to its successful crisis management, rapid decision-making and forward- looking strategic moves. With an average load factor of only 67% in 2003, Turkish Airlines has increased its capacity in the aviation sector more than eight times in 20 years. Thanks to its investments and efforts to increase its service quality and brand awareness,
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20 YEARS OF STRONG GROWTH, RECORD PROFIT
Despite many negative events experienced on a global scale in the last 20 years, our Incorporation has maintained its growth momentum
12.2% ASK CAGR 2003-2023
thanks to its successful crisis management, rapid decision- making and forward-looking strategic moves.
468
452
172
218
125
269 130
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60
2,779
876
1,191
1,022
-291
895
676
1,414
651
652
60
-255
311
Profit from Main Operations (Million USD) ASK (Billion)
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REGIONAL REVENUE DISTRIBUTION
9%
9%
15%
3%
9%
23%
2003
2022
6%
21%
43%
30%
7%
23%
Far East
Europe Domestic America Africa Middle East
With its internationally diversified flight network, Turkish Airlines reaches more than 90% of global Gross Domestic Product (GDP) and trade. Turkish Airlines possesses a natural resilience against fluctuations in exchange rates and demand due to the majority of its revenue being in foreign currency.
Turkish Airlines has established a unique business model within its ecosystem, incorporating business partners, subsidiaries, and supply chains. This model has provided both cost advantages and an efficient structure to support its growth. In the process of expanding, Turkish Airlines has also contributed to the growth of the sectors it engages with, thereby making significant contributions to Türkiye’s economy, exports, and employment. The transportation of international guests has led to substantial growth in both tourism and foreign currency inflows to Türkiye.
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Thanks to implementing successful crisis management during the pandemic in 2020, Turkish Airlines was the first network carrier airline to return to its pre-crisis capacity level without laying off employees. Turkish Airlines benefited from its strong network structure, dynamic capacity management, and flexible decision-making capability. Turkish Airlines rose from 9 th to 3 rd place in the international capacity (ASK) market share ranking, while achieving record profit levels, reducing its debt, and increasing its cash to the highest levels in its history. In 2021 and 2022, Turkish Airlines achieved the highest operating profit margins of the last 19 years. By reporting net profit of USD 233 million in the first quarter of 2023, Turkish Airlines has recorded profit for seven consecutive quarters. Due to its unprecedented cash generation capability, Turkish Airlines has achieved an even better Net Debt/EBITDAR ratio than the pre-pandemic period, boosting its solvency and financial health to an even better position.
Strong growth that transforms crises into opportunities Despite experiencing challenging periods such as global financial crises, acts of terrorism, manufacturer- related problems, and the Covid-19 pandemic during the past two decades, Turkish Airlines has overcome these challenges and set new records in the aftermath of crises. By recording strong growth, Turkish Airlines can transform crises into opportunities thanks to the sense of duty, commitment, and determination of its employees, its financial resilience, low and competitive cost structure. Capacity losses experienced during crisis periods have been quickly compensated in subsequent years, ensuring that no market share is lost. The cash assets of the Incorporation have climbed from USD 273 million in 2002 to USD 4.7 billion by the end of 2022 – up 17 times over this 20-year period.
NET DEBT/EBITDAR RATIO
NET PROFIT MILLION US DOLLAR
1,515
NET PROFIT FOR 7 QUARTERS IN A ROW
9.5x
735
576
473
3.9x
3.4x
3.1x
3.0x
1.8x
233
225
161
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For its competitive and innovative financing models, Turkish Airlines was deemed worthy of 32 international financing awards during the past two decades by world-renowned organizations such as Airfinance Journal, Airline Economics, and Global Transport Finance. Turkish Airlines has achieved outstanding success in aircraft financing by pioneering the sector’s most innovative structured financings. As Türkiye’s global flag carrier, Turkish Airlines aims to continue its success in securing attractive financing options in the coming period with its robust financial structure thanks to its financing diversity, broad range of financiers, and competitive financing costs.
Innovative financing models and a strong financial structure Turkish Airlines has achieved the lowest financing costs in the airline sector over the years as a result of its diversified aircraft financing structures since the early 2000s and its increasing know-how in this field. As part of the Incorporation’s fleet plan, financing amounting to USD 20 billion has been provided over the last 20 years; and nearly 350 Turkish Airlines aircraft, one third of which are wide body, have been financed at the lowest costs in the sector.
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The last 20 years witnessed highly volatile financial markets, negative developments in Europe and the Middle East, extreme fluctuations in oil prices, and all the negativities experienced especially in 2015 and 2016. During this tumultuous period, Turkish Airlines recorded aircraft financing transactions totaling USD 3 billion. In 2020, at the start of the Covid-19 pandemic, the biggest test of the global aviation sector, Turkish Airlines recorded aircraft financing transactions worth USD 2.5 billion. These transactions were completed successfully thanks to strong relationships based on mutual trust that have been meticulously maintained with financial institutions around the world for many years.
Due to its effective risk management and transfer
strategy, Turkish Airlines has also increased its type of insurance coverage over the last 20 years from 20 to 32 branches. Turkish Airlines has expanded the volume of aircraft fleet insured in international markets by approximately nine times and the volume of other tangible assets by about 10 times. The sustainability of the Incorporation’s cash flow and liquidity is ensured via systematically implemented financial risk management strategies. As a result, the growth journey and investments of the Incorporation have continued unabated despite the many crises experienced globally over the past 20 years. Thanks to its strong financial infrastructure as a result of agreements with banks across five continents, the Incorporation’s ability to conduct business and transactions on a global level has been maximized. In addition to the development of the first corporate financial risk management software in Türkiye, Turkish Airlines’ strong financial infrastructure is supported by technologies in line with the requirements of today’s world. Turkish Airlines’ efforts include digitalization initiatives such as finance and treasury integration through the ERP software developed to adapt its finance and treasury infrastructure, treasury management system software, SWIFT integration, and robotic system migration.
In addition to Turkish Airlines’ strength in aircraft financing,
liquidity management was carried out in a healthy manner with the provision of long-term unsecured cash loans of nearly EUR 5 billion, thanks to the high credibility of the Incorporation with international and local banks and financial institutions during the transition to the new airport and during the pandemic period. The Incorporation continues to move steadily forward by successfully completing its investments in its main targets.
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JOURNEY TO THE TOP
2003 2004 2005 2006 2007
2008 2009 2010 2011
Passengers Carried (Thousand) Domestic 5,031
5,850
7,197 8,906 9,984 11,063 11,692 13,645 14,488
International
5,389 6,141
6,937
8,041
9,652 11,534 13,410 15,474 18,160
Total
10,420 11,991 14,134 16,947 19,636 22,597 25,102 29,119 32,648
Cargo and Mail (Tons) Total
122,822 134,851 144,974 159,873 184,222 198,890 238,060 313,956 387,838
Available Seat Km (Million) Total
24,040 26,481 29,805 36,934 41,619 46,343 56,574 65,100 81,193
Financials (Million USD) Total Revenues
1,667
1,964 2,342 2,834 3,671
4,719 4,552 5,448 7,072
Profit from Main Operations Profit Margin from Main Operations
269
130
125
218
172
452
468
311
60
16%
7%
5%
8%
5% 10% 10%
6%
1%
Net Income
143
75
69
126
224
874
361
184
11
Balance Sheet Size 2,403
2,197
2,842
3,155 4,226 5,231
5,692 6,888 8,685
Landings Domestic
49,959 51,557 65,448 78,910 87,162 92,593 97,697 112,842 120,677 50,848 54,936 61,689 73,626 81,737 96,735 116,256 132,384 149,941 100,807 106,493 127,137 152,536 168,899 189,328 213,953 245,226 270,618
International
Total
Destinations Domestic International
26 77
26 77
28 82
28
31
33
36
40
41
105 133
107 138
110 143
120 156
131 171
151 192
Total
103
103
110
Aircraft Seat Capacity Total
10,598 12,346 14,617 17,931 17,594 22,238 23,549 27,886 33,007
Employees Staff Abroad
744
762
783
898 1,047
1,170 1,403
1,654 1,975
Cabin
1,579 1,781
1,847 2,604 2,628 3,090 3,925 5,326 5,692
Cockpit
651
812
900
1,167
1,204 1,508 1,622
2,113 2,436 5,113 5,634
Staff Domestic
7,265 7,601
7,591
5,655 5,574 5,752 5,800
Subsidiaries
300
452
578 3,205 5,139 5,255 6,128 12,599 12,456
Total
10,539 11,408 11,699 13,529 15,592 16,775 18,878 26,805 28,193
* Number of employees does not include subcontractors.
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