Air Astana, the largest airline group in Central Asia and the Caucasus regions by revenue and fleet size, announced its results for the first quarter ended 31 March 2025. Total revenue and other income increased 10.4% to USD 292.4 million (Q1 2024: USD 264.7 million). EBITDAR increased 37.1% to USD 59.9 million (Q1 2024: USD 43.7 million). EBITDAR margin improved by 4.0pp to 20.5% (Q1 2024: 16.5%).
The company said:
- ASKs up 13.5% to 4.7 billion (Q1 2024: 4.1 billion).
- RPKs increased 13.9% to 3.8 billion (Q1 2024: 3.4 billion).
- Unit revenues continue to be managed ahead of unit costs, extending the positive trend from Q4 2024 despite the seasonally weaker quarter.
- RASK decreased 2.7% to USD 6.23¢ (Q1 2024: 6.41¢). This was partially due to fare increases, made to reflect the Tenge depreciation, being phased in during the quarter (the full effect of fare adjustments will be recognised from Q2). In addition, the quieter Ramadan period fell entirely in Q1 this year (with no impact in Q2).
- CASK reduced by 5.7% to USD 6.09¢ (Q1 2024: 6.46¢) driven primarily by lower fuel costs and the reduction in Tenge denominated costs.
- Group passengers carried increased 7.1% to 2.0 million (Q1 2024: 1.9 million), with a 0.3pp improvement in average load factor to 81.5% (Q1 2024: 81.2%).
Peter Foster, CEO of Air Astana Group, said: “It has been a positive start to 2025 as the Group added popular new routes, increased carrying capacity and improved profitability. In our seasonally weaker first quarter, revenue increased by 10.4% and EBITDAR by 37.1% while the positive RASK-CASK trend continued and once again proved the effectiveness of our natural currency hedge. These results were achieved despite the Tenge depreciation and earlier Ramadan this year, driven by particularly strong international growth across key markets in Asia. Our network is growing with 15 new routes launched in 2025 to several popular business and lifestyle destinations. These flights have been added where demand is strongest, building on the 21 new routes launched last year across growth regions such as Vietnam and the Gulf. We are also improving connectivity with the two global mega markets on our doorstep. Last month, we celebrated 20 years of connecting Kazakhstan and India with a new service from Almaty to Mumbai, India’s commercial capital. Following our recent launch to Guangzhou, we will this month add our fifth destination in China, Yining (Kuldja). In addition, the MoU signed with China Southern Airlines for a comprehensive set of codeshares, creates additional opportunities for tourism, business cooperation, and enhanced cultural ties between Kazakhstan and China, and will strengthen our foothold in this important mega market and be a growth driver for Air Astana.”
Financial and Operational Review Q1-25 | Q1-24 | Diff YoY | |
Passengers (millions) | 2.0 | 1.9 | 7.1% |
Aircraft (end of period – fleet) | 60 | 50 | 20% |
Load factor (%) | 81.5 | 81.2 | 0.3pp |
Revenue and other income (million USD) | 292.4 | 264.7 | 10.4% |
EBITDAR (million USD) | 59.9 | 43.7 | 37.1% |
EBITDAR margin (%) | 20.5 | 16.5 | 4.0pp |
ASK (billion) | 4.7 | 4.1 | 13.5% |
RPK (billion) | 3.8 | 3.4 | 13.9% |
RASK (US cents) | 6.23 | 6.41 | -2.7% |
CASK (US cents) | 6.09 | 6.46 | -5.7% |
Cash and bank balances (million USD) | 513.7 | 369.5 | 39% |
Net Debt/EBITDAR (%) | 1.4 | 1.2 | 0.2pp |
Cash/sales (%) | 38.4 | 30.8 | 7.6pp |
The Group continues to introduce new routes across domestic and international markets, capitalising on Kazakhstan’s central location to improve connectivity and allocate resources where demand is strongest across Asia.
The year has started strongly with the addition of 15 new routes across key growth markets, including direct flights to China (Guangzhou and Yining (Kuldja)) and India (Mumbai), connecting Almaty with direct flights to India’s commercial capital. The addition of Guangzhou and Yining (Kuldja) has increased the number of destinations in China from three to five since the start of March as the Group expands its presence in this strategically important megamarket, as well as Europe and Vietnam (Da Nang and Nha Trang). This builds on the Group’s expansion in the Gulf in Q4 2024 with additional services to Dubai and Abu Dhabi.
Furthermore, the installation of a third fuel tank on the Group’s fleet of A321LR, at its own technical facilities, has widened network capabilities and brought new destinations within extended range of narrow-body aircraft. This has enabled the Group to operate nonstop flights from Almaty-London, Almaty-Guangzhou, Astana-Phu Quoc and Astana-Phuket, as well as Almaty-Tokyo from March 2026.
In Q1 2025, Air Astana signed an MoU with China Southern Airlines for a comprehensive set of codeshares across China, Kazakhstan and, subject to third country bilateral agreement, other countries in East Asia, Central Asia and the Caucasus with discussions progressing well. The partnership with this major airline in China will accelerate Air Astana’s expansion in this mega market across the border from Kazakhstan. The Group continues to explore further potential Enhanced Strategic Partnerships to expand its presence in key growth markets.
The Group continues to expand its fleet to support its growth objectives. In 2025, the Group has received five new aircraft (three A320neo and two A320ceo) and simplified the fleet with the redelivery of two Embraer E2 aircraft, leaving just one remaining in the fleet. This brings the total fleet size to 60 aircraft, comprising 34 Air Astana aircraft and 26 FlyArystan aircraft.
Due to supply constraints impacting Boeing, the delivery of the Group’s first 787-9 aircraft has been pushed to the second half of 2026. As part of the Entry into Service program for the Boeing 787-9, the Company has entered into an off-wing maintenance agreement with GE and placed an order for a spare engine to support operations.
The Group continues to benefit from the extended range offered by the modified A321LR aircraft, which is currently being used for routes such as Astana-London, Astana-Nha Trang and will also now be used for the Almaty-Tokyo route from March 2026. Five aircraft have now been fitted with an auxiliary fuel tank at the Group’s Advanced Technical Centre (ATC) and the final sixth aircraft in the plan is currently being modified.
Pratt & Whitney engine issues
In line with the mitigation plan successfully executed last year, an engine resting programme continued in Q1 – resting engines during the low season to ensure high fleet utilisation during peak season and reduce the impact on overall performance. This makes the Group well positioned to deliver further profitable growth in the forthcoming summer peak and beyond. As part of the mitigation plan, the Group has now taken delivery of five A320ceo family aircraft. In addition, the Group has a total of 12 spare engines supporting its A320neo family fleet. The engine-off wing time assumption for this issue remains 18 months. Although the Group is now being delivered completely fault-free engines, the issue is expected to persist and require proactive mitigating actions for the foreseeable future. The Group’s compensation and support agreement with Pratt & Whitney is particularly important for helping to address costs incurred and capacity constraints from the grounding of GTF engines.
Operational efficiency
The Group is making good progress in upgrading its Maintenance, Repair and Operations (MRO) and training facilities to improve the efficiency of its in-house operations. In Q1 2025, the Group expanded the service capabilities at its in-house Advanced Technical Centre (ATC) from performing one C-check at a time to two simultaneous checks in January and, as of April, three simultaneous checks, expanding capacity. This follows the ATC’s upgrade last year to provide the most comprehensive 12 Year C-checks on the Airbus fleet, improving efficiency and delivering increased savings going forward. In addition, a sixth A321LR is currently in the process of being upgraded with an additional central tank at the Group’s own technical facilities.
Plans are progressing for the construction of new hangars in Almaty and Astana, expanding maintenance capacity across the Group’s main two hubs, further reducing costs and introducing the opportunity to provide scarce and high-value heavy maintenance to external customers. The construction of the expanded facilities is expected to commence in 2025-26.
As part of its commitment to high standards of pilot training and performance, the Group is extending its Flight Training Centre (FTC) in Astana. The Group’s A320 Full-Flight Simulator – one of the first in Central Asia – is currently at full utilisation. The second Full Flight Simulator was delivered in February 2025 and is on track to be commissioned by the end of this year, increasing capacity, improving operational efficiency and potentially generating revenue from external pilot training.
The Air Astana Group is growing its portfolio by establishing its Ground Services subsidiary with registration expected to be completed in Q2 2025. The new subsidiary will support growth of the Group’s airline brands, contribute to improved operational efficiencies and potentially introduce new revenue opportunities by servicing other airlines. Operations will initially be deployed in Almaty with the intention to subsequently expand to other cities.
Financial update
The Group remains focused on carefully managing costs and allocating capacity to the highest yielding routes. As a result, RASK continued to be managed ahead of CASK in Q1 2025, continuing the positive momentum throughout 2024.
RASK decreased 2.7% to USD 6.23¢ (Q1 2024: 6.41¢), reflecting the seasonally weaker first quarter and one-off impact of the quieter Ramadan period falling entirely in Q1 this year. The fare adjustments made during the first three months were only partially reflected in Q1 and the full benefit will be seen in Q2. While passenger numbers increased by 7.1% in the quarter to 2.0 million, domestic capacity growth was slowed and the expansion in Q1 was almost entirely driven by international demand.
The Group’s low unit costs remain a strategic advantage enabling it to expand short and long-haul routes while competing effectively with other airlines. CASK decreased 5.7% in Q1 2025 to USD 6.09¢ (Q1 2024: 6.46¢) primarily due to KZT denominated costs affected by the exchange rate and lower fuel costs.
Approximately 70% of the Company’s fuel uplift is from Kazakhstan where it sources primarily direct from the refineries and manages the logistics including transportation. For the remaining 30% of international uplift, the Group is fully hedged against any increase in international fuel prices during the first three quarters of 2025 with options between USD 75 and USD 85 per barrel carrying no downside risk. 5
As at 31 March 2025, the Group cash position increased 39.0% to USD 513.7 million (Q1 2024: USD 369.5 million) with a cash-to-sales ratio of 38.4% (Q1 2024: 30.8%) before available facilities. The leverage ratio stood at 1.4x Group Net Debt/EBITDAR compared to 1.2x in the first quarter 2024, driven by 13 A320 family aircraft added to the fleet in the last 12 months, remaining comfortably within medium-term guidance.
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