Hawaiian Airlines seeks to explore new markets for expansion
With a successful growth rate during the recent years, Hawaiian Airlines tend to expand further to Asia and the East Coast of the US. The airline’s president and CEO Mark Dunkerley said that the carrier’s future “lies around the Pacific Rim,” according to CNBC.
Last year, Hawaiian Airlines, based in Honolulu, Hawaii, saw a 91.1% growth in on-time arrivals rate, which was the highest among the industry’s 81.4% average rate. Adding to the on-time rate, the carrier also reported more than $244 million profit last year, an increase of 33% from the prior year.
Setting aside the positive outlook of the airline’s performance, the possibility of adding new routes worries some analysts.
“They are beginning to get a little bit too aggressive,” Scott Hamilton, managing director of Leeham Company, an aviation consulting firm, said as quoted by CNBC. He added that plans for expanding long-haul flights might look like a right way to go, but planes’ costs for serving such destinations must be taken into account. Long distance routes require a lot of fuel and operating such expensive flights might precipitate the airline if commencing them too quickly.
Hawaiian Airlines’ president Dunkerley did not specify the cities of interest to expand, however, he told CNBC that the carrier’s focus is on the Pacific Rim market because of the Hawaiian vacation demand in that area.
Although the boosting competition in the US aviation industry has hindered Hawaiian Airlines’ expansion, Dunkerley sees an optimistic point of view by depicting the most important goal to “run the best possible airline that we possibly can.“