Summary
- Bamboo Airways will reportedly begin restructuring its fleet in October 2023 to improve efficiency and reduce costs after posting a $722 million loss in 2022.
- The airline currently operates a diverse fleet of 30 aircraft consisting of Airbus, Embraer, and Boeing models.
- Bamboo Airways is considering downsizing its fleet and reducing the number of aircraft types in operation to streamline operations and save costs.
Vietnamese airline Bamboo Airways will begin its aircraft fleet restructuring process in October 2023, citing the need to increase efficiency, further its growth, and optimize operating costs, according to a report by Reuters. The news of the airline’s fleet restructuring came after it posted a $722 million loss for 2022.
Increasing the uniformity and downsizing the fleet
Bamboo Airways, a relatively new entrant to the Southeast Asian aviation market, currently operates a fleet of 30 aircraft, according to Planespotters.net. For an airline that commenced operations in 2019, a fleet of 30 jets is quite typical.
Although 30 aircraft may not seem like a large number, this airline’s fleet is notably diverse, featuring three different types of aircraft. The majority of Bamboo’s fleet consists of Airbus models, with 12 Airbus A320s and 10 Airbus A321s in its lineup.
In addition, Bamboo has five Embraer ERJ-190 regional jets and three Boeing 787 Dreamliner widebodies. The Boeing 787-9 Dreamliner plays a significant role in the airline’s international development plans for long-haul routes to Europe, Australia, and the United States.
Photo: Thanhliemnguyen / Shutterstock
Airlines operating diverse fleets often face significant financial and operational challenges. This is due to the need for pilots, training, and maintenance staff capable of handling various aircraft types. Meanwhile, airlines having a single-type fleet can streamline operations by avoiding the complexities of managing different aircraft, allowing them to allocate their financial resources more efficiently.
As it stands, multiple reports suggest that the Vietnamese airline will potentially be downsizing its aircraft fleet and reducing the number of aircraft types in operation. Interestingly, Bamboo is the only airline in the Vietnamese market that operates a fleet of Embraer aircraft.
According to a report by the Vietnamese media outlet VNexpress.net, Bamboo Airways is exploring options to scale down its aircraft fleet as a cost-saving measure. However, the airline still needs to disclose the specific number or types of aircraft that will be taken out of service.
Simple Flying has asked Bamboo Airways for a comment.
Operational difficulties
The recent months have proved to be difficult for the Vietnamese airline undergoing a restructuring process. Simple Flying has recently reported on Bamboo’s alleged struggles to pay its pilots. As many as 30 pilots have reportedly left Bamboo in the last two months after delays in receiving their wages.
Photo: Thanhliemnguyen / Shutterstock
Airline staff have previously experienced salary delays, but this marks the first instance where foreign pilots, who constitute a significant portion of the airline’s 300-strong pilot community, have been impacted by the issue.
Operating within a distinctive hybrid framework that falls between full-service carriers and low-cost airlines, Bamboo may have faced challenges in establishing a clear market identity in a competitive sector with rivals such as Vietjet and Vietnam Airlines. Nevertheless, in an effort to dispel any speculation, the airline released a statement affirming its commitment to ongoing standard operations.
Sources: Reuters, VNexpress.net