Ethiopian Airlines reported a total revenue of $9.1 billion for the 2025/2026 fiscal year, navigating geopolitical challenges and rising operational costs to achieve a 10 percent year-on-year increase in passenger traffic.
Speaking during the annual performance report presentation, Ethiopian Airlines Group Chief Executive Officer Mesfin Tasew highlighted that the carrier transported 20.7 million passengers over the past year. Overall flight operations grew by 8 percent, reaching 96 percent of the target, while cargo transport expanded by 16 percent. The airline expanded its network by adding four new international routes—bringing its global destination total to 150—and boosted domestic routes from 22 to 25. Capacity was further reinforced through the acquisition and leasing of nine new aircraft, alongside eight DA40NG training planes for the Ethiopian Aviation University, which successfully graduated 1,713 out of 2,183 enrolled students.
Despite strong passenger demand, performance fell slightly short of initial targets—achieving 98 percent of the annual passenger goal. Mesfin explained that operational disruptions in the Middle East led to the suspension of approximately ten regional flights, while ongoing global wide-body aircraft shortages limited planned expansion. Furthermore, newly introduced travel restrictions by the United States impacted transit routes connecting Africa and North America, alongside travel bans imposed by select Western African nations and Congo, which together restrained total revenue potential.
Rising expenditures also compressed overall margins, with operational costs increasing by 25 percent compared to the previous period. The CEO attributed this cost escalation primarily to surging global jet fuel prices triggered by conflict in the Gulf region. Despite these financial pressures, the group maintained its corporate social responsibility commitments, allocating over 5.6 million Ethiopian Birr to charitable initiatives and local community development projects throughout the fiscal year.
Looking forward, the airline continues to invest heavily in strategic infrastructure and employee welfare programs. Terminal renovation and construction projects progressed across multiple domestic airports, while a major housing development scheme is currently underway for airline staff. Construction has begun on housing units designed to accommodate 5,000 employees, with the first phase of 2,500 homes scheduled for completion by January 2027, and the remaining balance expected by the end of that year.