San Francisco Frontiers - Etihad capacity rises as war disruption weighs on annual earnings

Etihad Airways is operating above its year-earlier passenger capacity, but disruption caused by the Iran war is expected to leave its 2026 revenue flat and profitability close to zero, chief executive Antonoaldo Neves said on September 14.

Speaking to Reuters, Neves said the Abu Dhabi carrier’s available seat kilometres were 15% to 17% higher than a year earlier. That measure records the seats available for passengers multiplied by the distances flown.

Etihad filled 92% of its available seats in August and is aiming for a load factor above 87% through the remainder of the year. Neves said operations had recovered after the disruption experienced earlier in 2026.

The US-Israeli war on Iran began at the end of February and interrupted flights across the Middle East and beyond for weeks. Regional airlines have gradually resumed services, although airspace closures in March and April continue to affect Etihad’s annual financial outlook. Revenue is forecast to be unchanged from 2025.

Neves said travel patterns were also being altered by trade disputes and visa restrictions. He cited US and Canadian visa decisions as factors reducing traffic from India to those countries, including student travel.

He expressed confidence about the winter season, while noting changing demand and a greater tendency for customers to book late, a pattern also described by Emirates. Etihad is generating cash to support fleet investment, he added.

Earlier on September 14, the airline unveiled a cabin design covering first, business and economy classes for its existing Airbus A321 LR aircraft and its A330s. Neves said the A330s could arrive in the middle of 2027.

F.Young--SFF