Turkish Airlines will order a total of 600 new aircraft in June and they will be delivered within ten years, company chairman Ahmet Bolat has confirmed.
Once placed, it would be the largest in the industry's history by a single airline, eclipsing a record order by Air India for 470 Airbus and Boeing planes in December.
Speaking weeks before Turkey is due to host airline leaders from the International Air Transport Association, Bolat said the order would consist of 400 narrow-body aircraft and 200 wide-bodies, adding the fleet would increase to 810 aircraft by 2033.
"During the IATA meeting, we are going to announce orders. With one of the big manufacturers, we are almost finishing our discussions. We are going to order (a total of) around 600 aircraft," Bolat told reporters at a press meeting for the launch of the company's renewed inflight dining concept. IATA's annual summit, grouping almost 300 airlines, will be held in Istanbul on June 4-6.
Bolat said Turkish Airlines was close to a deal with Boeing for part of the order but did not give further details.
Turkish Airlines could hand an order for the rest of the new aircraft "to the other manufacturer" at the next European air show in June, Bolat added in a reference to Airbus. Paris Airshow takes place in the week of June 19.
Addressing Turkey's elections, the chairman said he expected the company's top management to continue after the vote so that Turkish Airlines can carry out its 10-year growth plan.
Turkish Airlines has ambitious plans to attract more traffic to its Istanbul hub, competing with European and Gulf rivals.
Ireland's Ryanair placed an order for up to 300 narrow-body jets earlier this week and India's IndiGo is in talks to buy around 500 jets, Reuters reported in March. Boeing shares rose 0.6%. Airbus ended down 0.3%. Turkish Airlines last month announced a 10-year strategic plan and growth targets that include a goal of handling 170mn passengers by 2033, compared to over 85mn in 2023.
During the first quarter of 2023, Turkish Airlines demonstrated its ability to navigate a challenging operating environment, which was characterised by devastating earthquakes centred in Kahramanmaraş—a historic disaster in Türkiye. Despite the negative circumstances that have plagued the aviation industry since the start of the pandemic in 2020, Turkish Airlines leveraged its 90 years of experience and effective crisis management to achieve net profit for the seventh consecutive quarter.
In the first quarter, the airline achieved its highest-ever first-quarter revenue, totalling $4.4bn—an impressive year-over-year increase of 43%. Passenger revenues accounted for 84% of the total revenue, soaring by 83% and surpassing $3.6bn.
With a fleet of 411 aircraft, one of the youngest and most modern in the industry, Turkish Airlines expanded its fleet size and workforce by 10% compared to the same period the previous year. During the first quarter of 2023, the airline transported over 17mn passengers, with a domestic load factor of 80.1% and an international load factor of 81.4%. Despite global inflationary pressures impacting costs, the company's EBITDAR (Earnings Before Interest, Taxes, Depreciation, Amortisation, and Rent)—a measure of cash generation—reached approximately $770mn, supported by robust revenue growth.
While global international airline capacity in the first quarter of 2023 remained 19% lower than in 2019, according to data from airline data provider OAG, Turkish Airlines stood out by surpassing its 2019 international capacity by 26%. Over the past three years, Turkish Airlines has consistently operated the highest number of daily flights among European network carriers, as recognised by the European Organisation for the Safety of Air Navigation (EUROCONTROL). The airline also achieved significant global growth, becoming the network carrier with the highest international frequency. In the first quarter, Istanbul Airport claimed the title of the busiest airport in Europe.
Over the past two decades, Turkish Airlines has played a vital role in Türkiye's economy and employment, surpassing industry averages in capacity, passenger numbers, and profitability. To continue this trajectory, the national flag carrier has unveiled a 2033 strategy for its centenary, which aims to double the fleet and passenger numbers. The strategy also sets targets for enhancing the passenger experience, digitalisation, and sustainability efforts.
As Türkiye's flag carrier, the airline promptly responded to the devastating earthquakes in Kahramanmaraş. In February and May, the airline evacuated 430,000 citizens, transported 433,000 individuals, including search and rescue teams, and delivered over 29,000 tonnes of aid materials to the affected areas. To aid in the recovery efforts, the airline donated 2bn TL in cash assistance to the Disaster and Emergency Management Presidency of the Ministry of Internal Affairs (AFAD). The carrier also pledged to support the construction of 1,000 houses and provide employment opportunities for 1,000 families impacted by the earthquakes.
With subsidiaries and a workforce of over 75,000 employees, Turkish Airlines is in a strong position for the next year, and competition will heat up between the carrier and Qatar Airways, Emirates, Saudia, and Etihad Airways.
The author is an aviation analyst. Twitter handle: @AlexInAir
