Thanks to implementing successful crisis management during the Covid-19 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 ninth to fourth place in the international seat 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 3,233 billion in the last quarter of 2023, Turkish Airlines has recorded profit for ten 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, and 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 company’s cash assets 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 USD)
3,233
NET PROFIT FOR 10 CONSECUTIVE QUARTERS
1,920
9.5x
1,515
3.9x
3.0x
3.4x
1.7x
1.3x
735
635
576
473
225
233
161
FROM BOUTIQUE AIRLINE TO THE TOP IN 20 YEARS
63
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