UAE budget carrier Air Arabia has reported a 22 per cent rise in third-quarter net profit, beating analyst forecasts as passenger numbers increased.

The airline said it made a net profit of Dh247.4 million ($67.35 million) for the period ended September 30, up from Dh202.7 million ($55.18 million) a year-ago, according to a bourse filing.

Analysts polled by Reuters on average forecast Air Arabia would make a quarterly profit of Dh182 million ($49.55 million).

The company's third-quarter revenue rose 25 per cent to Dh1.06 billion ($288.59 million) from a year earlier as passenger numbers increased by 15 per cent to about 1.75 million over the same period.

Air Arabia also has hubs in Egypt and Morocco and flies about 100 routes. It competes with other regional low cost carriers such as flydubai and Kuwait's Jazeera Airways.

"Despite ongoing political uncertainty in parts of the region adding to the challenge presented by fluctuating trend in fuel prices, we remain highly confident about the long-term prospects for the industry in the Mena region," said Sheikh Abdullah bin Mohammed al-Thani, Air Arabia chairman. - Reuters