Aviation News Item: 00074

6th Nov 2009

Source: evaint.com

Emirates airline produced a net profit of Dhs 752 million (US$205 million), for the first six months of its current financial year, ending 30th September 2009. This represents a 165 per cent improvement compared with Dhs 284 million (US$77 million) net profits for the same period in 2008.

During this period, the airline made an estimated direct contribution of Dhs 10 billion and an estimated indirect contribution of Dhs 14 billion to the UAE economy, carrying over 13 million passengers and over 700,000 tonnes of cargo and in the process also helped other businesses operating at Dubai International Airport achieve growth in revenue and traffic.

Emirates supported and stimulated growth in the aviation and tourism industry by continuing fleet and network expansion, with eight new aircraft added, two new destinations launched and additional frequencies introduced; progressing its ongoing programme to install the latest inflight entertainment systems and mobile connectivity across its fleet and investing in the training and retention of its 29,000-strong staff.

In the first-half of its financial year 2009-10, Emirates posted strong business growth, both in terms of capacity on offer and traffic carried, compared with the corresponding period in 2008, performance that has been in stark contrast to the current trend seen across the aviation industry.

Capacity measured in Available Seat Kilometers (ASKM), grew by 22 per cent, whilst passenger traffic carried measured in Revenue Passenger Kilometers (RPKM) was up 21 per cent with Passenger Seat Factor sustained at a high level, averaging 77.5 per cent, slightly down compared with 78.3 per cent for last year. The volume of cargo uplifted was in line with last year.

Total revenue at Dhs 19.8 billion (US$ 5.4 billion) was lower by 13.5 per cent, compared with Dhs 22.9 billion (US$ 6.2 billion) recorded last year, largely reflecting lower passenger and cargo yields. However, total expenditure at Dhs 19.0 billion (US$ 5.2 billion) was 15.8 per cent lower than Dhs 22.6 billion (US$ 6.1 billion) last year, helped by cost containment measures and lower jet fuel prices.

Emirates' cash position (including held to maturity cash investments of Dhs 200 million) on 30th September was Dhs 6.7 billion (US$1.8 billion), compared with Dhs 7.4 billion (US$2.0 billion) six months earlier. This was after funding a significant ongoing capital expenditure programme that included pre-delivery payments for new aircraft on order, building projects in Dubai and an upgrade of the interiors of some of the existing fleet. During the first half, Emirates successfully raised aircraft financing of Dhs 3.3 billion (US$0.9 billion).

Emirates' current fleet size is 139 aircraft. Since the beginning of its current financial year, the airline has received delivery of eight new wide body aircraft, with another 10 new jets scheduled to be delivered before the end of the financial year (31 March 2010).

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