Etihad expects 2026 break-even and strong demand despite Iran war

Etihad Airways anticipates breaking even in 2026 despite the ongoing war in Iran, contrary to a previous June prediction of an annual loss. The Abu Dhabi airline is currently operating at 90% capacity, generating positive cash flow, and benefiting from a booming air cargo business. CEO Antonoaldo Neves highlighted strong demand during a visit to the Arabian Travel Market, stating that the airline is breaking even this year and not budgeting for a loss.

He noted that the airline added 15% capacity in July compared to the previous year, recorded a profit in August, and maintained the same airfares as the previous year despite rising jet fuel prices. Neves emphasized that the airline is flying with planes 90% full, generating positive cash flow, and is on track to double its investments in new planes, talent, and products.

The airline's performance in 2025 was record-breaking, with a profit after tax of Dh2.6 billion ($707.9 million), a 47% increase from 2024. The CEO highlighted the airline's strong balance sheet, ongoing cash generation, and ability to absorb regional crises. Etihad plans to expand its fleet by 25% by the end of next year, reaching about 400 daily flights.

The airline is also set to introduce new premium cabins on existing and future aircraft. Growth is expected to come from markets in China, Africa, and potentially Latin America in the coming years.