How to turn geopolitical shocks into a strategic advantage: Simon J. Evenett at the Future Tense conference
Croatia Airlines carried more than 405,000 passengers in the first quarter of 2026, which is 22% or around 74,000 passengers more than in the same period last year, marking a record result in the company’s history.
The current crisis triggered by the war in the Middle East, and the resulting sharp rise in jet fuel prices, has therefore hit the company at a time of strong operational growth, as the national carrier is implementing the largest project in its history – replacing its fleet with new Airbus A220 aircraft.
In these new circumstances, marked by pronounced energy price volatility and complex geopolitical developments, Croatia Airlines is continuing with this project, while also adjusting its operational and commercial activities to mitigate pressure on the business as much as possible.
Fuel remains one of the largest operating costs in the aviation industry, and recent market disruptions have led to a significant rise in prices.
Instability in energy markets directly affects all airlines, including Croatia Airlines, and the current situation is expected to impact the company’s business results in the period ahead, as is the case across the global aviation industry, which is highly dependent on energy prices and the stability and security of the international environment.
In such conditions, crisis management mechanisms are being applied, including continuous efforts to optimise operations and carefully manage costs and revenues, while seeking to preserve the stability of the flight network and overall business as much as possible.
At the same time, geopolitical developments and instability in energy markets are also directly affecting the availability and prices of aircraft spare parts, with the growing needs of the defence industry adding further pressure.
All of this makes it necessary to adjust operational and commercial plans to the new crisis conditions.
Flight planning and ticket pricing continue to be based on a broader range of market factors such as demand, competition and seasonality, while Croatia Airlines seeks to maintain competitiveness, a stable flight schedule and reliable connectivity.
For decades, Croatia Airlines has continuously provided connectivity between Croatia, Europe and the wider world, confirming its key role in citizen mobility and in the development of Croatian tourism and the economy, particularly in challenging and unpredictable circumstances.
In such times, the airline places all of its capacities in the service of the public interest, further underlining the importance of the national carrier role that Croatia Airlines has fulfilled successfully and with pride since the establishment of Croatian independence.
