First half net profits down 76 per cent for Emirates Airline as it spends $1 billion more on fuel.
High fuel prices drive down Emirates Airline profits by 76%
Emirates Airline experienced a 76 per cent decline in net profits in the first half because of high fuel prices and currency fluctuations, the carrier reported yesterday.
The Dubai airline, which is continuing to expand aggressively, spent $1 billion more on fuel in the first half of its financial year, which starts in April, compared to the same period last year, said Sheikh Ahmed bin Saeed Al Maktoum, the chairman and chief executive of Emirates Airline and Group.
“The global challenges of the past six months have again put Emirates to the test,” he said.
Its net profits fell to Dh827 million in the first half, down from Dh3.4 billion in the six months between April and September last year.
The results come ahead of the Dubai Airshow, which starts on November 13.
Passenger seat factor, or the occupancy of the seats on Emirates Airline’s plane reached an average of 79.3 per cent, down slightly from 81.2 per cent in the same period last year, as the airline increased its capacity.
Emirates has a fleet of 161 planes. Since the start of its current financial year, the airline has taken delivery of ten new wide body aircraft and it has another 13 new aircraft to be delivered before the end of the financial year.
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