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Investor Presentation
Q2 2011
Disclaimer
Information contained in this presentation is subject to change without notice, its accuracy is not
guaranteed and it may not contain all material information concerning the company. Neither we nor
our advisors make any representation regarding, and assume no responsibility or liability for, the
accuracy or completeness of, or any errors or omissions in, any information contained herein.
In addition, the information contains projections and forward-looking statements that reflect the
company’s current views with respect to future events and financial performance. These views are
based on current assumptions which are subject to various risks and which may change over time. No
assurance can be given that future events will occur, that projections will be achieved, or that the
company’s assumptions are correct. Actual results may differ materially from those projected.
This presentation is strictly not to be distributed without the explicit consent of
Company management under any circumstance.
Q2 2011 Highlights
� Political unrest continues through out the Arab world and oil prices continue to rise
� Despite the continuous challenges, Air Arabia achieved better quarter on quarter results by all metrics
� Air Arabia’s Centro Rotana hotel at Sharjah Airport launched operations
� 2 new aircraft were received and 4 more expected in 2011
� Interest rates globally and in UAE have seen sharp drop from same levels in Q2 2010
� European credit agencies continue to support Air Arabia purchases
� Two GCC airlines have closed down in 2011 – sama and wataniya
Air Arabia Global Network
� Currently operates to
over 65 destinations in 32
countries from three hubs
(Sharjah, Casablanca &
Alexandria)
� Istanbul has become the
first city with flights from
the three hubs
� Saudi is becoming a
common destination to
operations from Sharjah
and Alexandria
� Remains biggest
international airline to fly
to India with 13
destinations and over
102 flights per week
World’s Best A320 Operator
� Achieved this recognition since
2005 - YTD
� Highest level of A320 family
aircraft utilization with 99.8%
operational reliability
� This recognition from Airbus
illustrates the continuous
excellence and efficiency in Air
Arabia operations
Air Arabia Group Structure
JV’S & SUBSIDIERIES
AIR ARABIA UAE
AIR ARABIA MAROC
AIR ARABIA EGYPT
AIR ARABIA
GROUP
All Air Arabia hubs and JV’s enjoy an independent management teams.
Air Arabia group overlooks its subsidiaries to ensure brand unity and
financial fitness
Passenger & Fleet Growth (H1)
Total Passengers
Fleet SizeNumber of Destinations
* Air Arabia Group
547 1,133
1,763
2,700
3,561 4,066
4,456
2,771
68% 79% 80% 86% 85% 80% 83% 84% -
1,000
2,000
3,000
4,000
5,000
6,000
2004 2005 2006 2007 2008 2009 2010 H12011
0
10
20
30
2004 2005 2006 2007 2008 2009 2010 H12011
3 58
1116
2125 27
0
20
40
60
80
200320042005 2006 2007 2008 2009 2010 H12011
515
2332 37
44
5965 66
Historical Financial Group
Performance VS H1 2011Revenues Gross Profit
EBITDAR Net Profit
192 411
749
1,283
2,066 1,972 2,080
1,105
-
500
1,000
1,500
2,000
2,500
2004 2005 2006 2007 2008 2009 2010H1 2011
Revenues (AED 000)
2465
130
318
394358
312
103
12.5%
15.8%17.4%
25.9% 19.1%18.2%
15.0%
9.3%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
050100150200250300350400450
2004 2005 2006 2007 2008 2009 2010 H12011
% M
argin
Gross Profit (U
SD in M
M)
31
101
376
510452
310
95
7.6%13.5%
29.3%
25.0%22.9%
14.9%
8.6%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
0
100
200
300
400
500
600
2005 2006 2007 2008 2009 2010 H12011
% M
argin
Net Profit (AED (MM)
Net Profit Net Margin
2984
182
421
741 742
590
219
15.1%
20.4%24.3%34.4%35.9%
37.6%
28.4%
20.0%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
0
100
200
300
400
500
600
700
800
2004 2005 2006 2007 2008 2009 2010 H12011
% M
argin
EBIT
DAR (AED 000)
EBITDAR EBITDAR Margin
Financial Performance (Group)
Q2 2011
0
100
200
300
400
500
600
700
20082009
20102011
Q2 Revenue AED (M)
0
20
40
60
80
100
20082009
20102011
Q2 Net Profit AED (M)
Q2 Passenger Increase
1080000
1100000
1120000
1140000
1160000
1180000
Q2 2010 Q2 2011
Rev VS cost per passenger
Q2 2011
- 10 -
16% Increase
Revenue/Passenger – Q2 2010 Vs. Q2 2010
Cost/Passenger – Q2 2010 Vs. Q2 2011
18% Increase 11% Increase
Cost/Passenger – Excluding fuel
350
400
450
500
Q2 2010
Q2 2011
240
260
280
300
Q2 2010
Q2 2011
420
440
460
480
500
520
540
Q2 2010 Q2 2011
JV’s & Investment Portfolio
Air Arabia JV’s & Subsidiaries have been positively contributing to the
Group financial performance
Recent Awards
� Airbus operational excellence award 200-2010
� Excellence in Corporate Governance practices by ESCA
� Super brands award 2010
� Innovation in Operations’ award for LCC category by Express TravelWorldAwards 2010-2011
Operating Statistics (Airline)
2004 2005 2006 2007 2008 2009 2010
Number of Aircraft 3 5 8 11 16 21 25
Average Aircraft 3.0 4.9 6.0 9.5 14.5 17 23
Destinations 15 23 32 37 44 45 65
Number of Pax in Millions 0.6 1.1 1.7 2.7 3.6 4.1 4.5
RPK (Billions) 1.2 2.5 3.7 5.0 7.1 8.5 9.2
ASK (Billions) 1.8 3.2 4.7 5.8 8.3 10.5 11.0
Average Load Factor 68% 79% 80% 86% 85% 80% 83%
Revenue / Passenger 318.2 354.7 425.0 453.6 546 523 493
Cost / Passenger 348.9 345.3 382.1 351.6 460 375 397
Cost / Passenger (Ex-Fuel) 240.2 220.7 248.0 207.9 229 235 239
EBITDAR Margin 13.9% 20.4% 24.9% 34.4% 36% 38% 28%
Q2 2010 Q2 2011
23 25
23 25
65 66
1.109M 1.162M
2.287M 2.362M
2.757M 2.866M
82.1 82.5
458 532
413 489
261 290
