Emirates Airline’s profit up by 111% and Group’s by 77% during first half of 2017-18
A Monitor Report 12 Nov, 2017 | 12144 Views|-+
Dubai: The Emirates Group, comprising Emirates Airline, dnata and others today, November 9 announced its half-year results for 2017-18 ending on September 30, 2017. The Group saw steady revenue growth and a rebound on profitability compared to the same period last year, in spite of the continuing downward pressure on margins, a rise in oil prices, and other challenges for the airline and travel industry.
The Emirates Group revenue was US$ 13.5 billion for the first six months of its 2017-18 financial year, up 6% from US$ 12.7 billion during the same period last year. The Group reported a net profit of US$ 631 million, up 77%.This result was driven by capacity optimisation and efficiency initiatives across the company, steady business growth, and a more favourable foreign exchange situation compared to the same period last year.
Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates Airline and Group said: “A lot of the credit for our 2017-18 half-year results goes to our talented workforce who have worked hard to improve our business performance, and address our challenges without compromising on quality and service.”
“Our margins continue to face strong downward pressure from increased competition, oil prices have risen, and we still face weak economic and uncertain political realities in many parts of the world. Yet, the Group has improved revenue and profit performance. This speaks to the resilience of our business model, and the agility of our people.”
In the first half of the 2017-18 financial year, Emirates Airline’s net profit is US$ 452 million, up 111%, compared to last year. This result was driven by improved seat load factors, tight control on capacity deployment, and the strengthening of currencies in Emirates’ key markets against the US dollar.
Emirates carried 29.2 million passengers between 1 April and 30 September 2017, up 4% from the same period last year. The volume of cargo uplifted at 1.3 million tonnes is up 5% while yield improved by 8%.
As of 30 September, Emirates’ global network spanned 156 destinations in 84 countries. Its fleet stood at 264 aircraft including freighters.
dnata saw steady growth across its global businesses which now span 84 countries. In the first half of 2017-18, dnata’s international operations accounted for over 67% of its total revenue. Overall profit for dnata is up by 20% to US$ 180 million.
In the past six months, the Group’s employee base reduced by 3% compared to 31 March 2017, from an overall staff count of 105,746 to 102,669. This was largely a result of natural attrition together with a slower pace of recruitment, as various parts of the business adopted new technologies, streamlined business processes and re-allocated resources.