The aviation services sector continues to demonstrate strong resilience amid geopolitical tensions disrupting air traffic across the Middle East, said Hassan El-Houry, chairman of Menzies Aviation.
While airspace closures, flight cancellations and reroutings have strained operations, El-Houry described the situation as a stress test for an industry that has historically rebounded from crises.
In an interview with Asharq Al-Awsat, he outlined a transformation phase for the company, which has surpassed $3 billion in annual revenue for the first time, while highlighting expansion plans and growing investment in artificial intelligence.
Recent tensions have affected Menzies’ operations in markets including Iraq, Pakistan and Jordan, with broader impacts on global cargo routes and international airports. Rising jet fuel costs have added further pressure.
However, El-Houry said the aviation sector has repeatedly proven its ability to absorb shocks, with demand for air travel typically rebounding after crises. He expects passenger confidence to recover gradually as regional stability improves.
Airlines, he added, are increasingly prioritizing efficiency, cost control and operational flexibility. This shift has accelerated demand for integrated service providers with global reach and the capability to maintain safe and reliable operations during periods of disruption.
The trend is particularly evident in Saudi Arabia, where low-cost carriers such as flynas and flyadeal are expanding rapidly, driving demand for cost-effective service partners.
Menzies reported a 16% rise in revenue in 2025, exceeding $3 billion. El-Houry attributed the growth to disciplined strategy execution, structured expansion and stronger multi-service partnerships with airlines and airports.
The company now operates at 347 airports in 65 countries, handling 5.3 million flights annually, with a customer retention rate of 90%.
Its acquisition of G2 Secure Staff has significantly expanded its footprint in the United States, reinforcing its position as a leading aviation services provider in the world’s largest market.
To address cost pressures, Menzies is investing in innovation, including AI-powered tools that use computer vision to measure cabin baggage and advanced baggage reconciliation systems to improve accuracy and reduce manual workloads.
A workforce planning optimization system is already deployed in more than 30 locations and is expected to cover over 22,000 employees by the end of 2026.
El-Houry said acquisitions remain central to long-term growth, with the company pursuing expansion in both established and high-potential markets. Saudi Arabia is a key focus, with the Kingdom aiming to reach 330 million passengers annually under Vision 2030.
On technology, Menzies is expanding its MACH cargo management system, now active at 46 sites and handling 55% of cargo volumes. The company is also developing AI-based risk detection systems to enhance safety oversight, while aiming for full AI integration in workforce planning by 2028.
Sustainability remains a priority, with more than $200 million invested to increase the share of electric ground support equipment to 25% globally, supporting a net-zero emissions target by 2045.
El-Houry also pointed to growth opportunities in emerging markets, particularly in the Middle East, Asia and Latin America. In India, Menzies has secured a ground handling license at Kempegowda International Airport in Bengaluru and launched a new site for Air Menzies International as part of its global expansion strategy.
