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Even with a shiny new fleet, El Al has faced mounting criticism over alleged price gouging during the Israel-Hamas war.
The skies aren’t looking so friendly for El Al after nearly scraping bottom in AirHelp’s 2024 global rankings.
El Al placed a dismal 105th out of 109 airlines evaluated, outperforming only four carriers including Bulgaria Air and bottom-ranked Tunisair.
The airline’s performance was particularly abysmal in claims processing, where it scored a mere 0.1 out of 10. Even its satisfaction rating of 8.0 couldn’t salvage its overall standing, dragged down by a mediocre 5.7 score in punctuality.
But El Al is betting big on a comeback after just inking a deal on Sunday with Boeing for up to 31 new 737 MAX jets.
Besides luxury, the new MAX aircraft promise to slash fuel consumption by 20% compared to current planes and reduce noise footprint by 50%.
It’s all part of an ambitious fleet renewal strategy that began earlier this year when El Al ordered three additional 787-9 Dreamliners with options for six more.
One new aircraft is scheduled for delivery in mid-2025, and two more leased aircraft are expected to arrive in the near future.
CEO Dina Ben-Tal Ganancia trumpeted the purchase as a “significant milestone,” claiming it will offer customers the “most advanced service and technology experience in the industry.”
“El Al has a central role in ensuring open skies for Israel. The implementation of our strategic plan – which aims to expand the fleet, increase the value proposition for customers and increase capacity and seating – will ensure a strong and growing company for many years to come,” Ben-Tal Ganancia said.
However, even with a shiny new fleet, El Al has faced mounting criticism over alleged price gouging during the Israel-Hamas war.
The airline’s response has been to implement what it calls fare caps on four European routes – Larnaca ($200), Athens ($300), and Vienna and Dubai ($350).
Yet, critics note these token gestures do little to address the broader issue of sky-high fares, particularly in North America where El Al faces virtually no competition after American carriers suspended service citing security concerns after October 7, 2023.
According to Globes, El Al’s overall revenue jumped 63% to $1.1 billion in the first nine months of 2024. Revenue from flights to Europe jumped 36% to $1.2 billion, and for Asia and Africa there was an 11% increase.
In total, El Al’s profits in January-September rose 42% to $2.5 billion, while net income jumped more than fivefold to $411 million.”
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