Luaus, leis, and laying in the sun -- Hawaiian Holdings knows how to get you there. The company's main subsidiary, Hawaiian Airlines, transports passengers and cargo between Honolulu and about a dozen major cities in the western US. Transpacific routes account for most of the carrier's revenue. Hawaiian Airlines also serves four of the six main Hawaiian Islands and destinations in the South Pacific such as American Samoa, Australia, the Philippines, and Tahiti. It operates a fleet of about 50 aircraft (most are Boeing 717s for flights between the Hawaiian Islands and Boeing 767s for transpacific flights). In addition to its scheduled passenger and cargo operations, Hawaiian Airlines provides charter services.
To supplement its own inter-island offerings, Hawaiian Airlines serves other destinations within Hawaii via a code-sharing deal with Island Air. In addition, Hawaiian Airlines maintains code-sharing arrangements with carriers such as American Airlines, Continental Airlines, Delta Air Lines, United, and US Airways. Code-sharing allows airlines to extend their networks by selling tickets on other carriers' flights.
Sales and Marketing
Hawaiian Airlines uses various distribution channels including its website (mostly for North America and regional island routes) and travel agencies and wholesale distributors for international flights. Partners include Orbitz, Travelocity, Expedia, Hotwire, and Priceline.
Hawaiian Airlines has enjoyed five straight years of steady growth. Revenues spiked 7% from $2.2 billion in 2013 to peak at a record-setting $2.3 billion in 2014. During that same time period, the airline's net income surged 33% from $52 million to $69 million mainly due to a decline in the average fuel price per gallon.
The historic growth in 2014 was driven by an increase in passenger revenue due to an uptick in capacity across its network. It was also attributed to an increase in cargo revenue, due to the additional cargo capacity provided by the Airbus A330-200 aircraft; this was the result of the expansion of its network and improved production on its existing routes.
Hawaiian Airlines is counting on continued growth in its transpacific and South Pacific operations through expanded service to Tahiti, Australia, Japan, and the Philippines. It has instituted a code-sharing agreement with Korean Air Lines and now offers nonstop flights to that country. Hawaiian Airlines is currently the only airline to offer nonstop service from Honolulu to Pago Pago and American Samoa. To support its expansion plans, the company has ordered 16 wide-body and extra-wide-body aircraft from Airbus for delivery between 2017 and 2020.
In April 2014, the airline launched a non-stop service between Honolulu and Beijing. The flight represented the airlines' 10 international destination and made China one of Hawaiian Airlines' most important visitor destinations. Shortly before, it also signed a code-share agreement with Air China, China's exclusive national flag carrier.