Emirates Group logs record profits of US$ 3 bn as passenger numbers surge by 123%

12 May 2023 05:59 am Views - 287

CNBC: Emirates Group reported record profit and revenue figures yesterday for the year ending April 2023, with customer numbers booming as the majority of pandemic-induced travel restrictions were lifted.

The Dubai-based group reported an annual profit of 10.9 billion United Arab Emirates dirhams (US$3 billion), while Emirates’ revenue increased by 81 percent to 119.8 billion dirhams, according to a press release by the company. 

Passenger numbers were up to 43.6 million for the year, which is a 123 percent increase compared to the previous year.

Emirates posted a US$1.1 billion loss in May 2022, following a US$ 5.5 billion loss in May 2021, as the airline was heavily impacted by the Covid-19 pandemic and soaring fuel pricesfollowing Russia’s full-scale invasion of Ukraine.
Chairman of the group, Sheikh Ahmed bin Saeed Al Maktoum, credited the company’s performance to strong leadership and Dubai’s “progressive policies,” and anticipates another strong year for Emirates.

“We go into 2023-24 with a strong positive outlook and expect the Group to remain profitable. We will work hard to hit our targets while keeping a close watch on inflation, high fuel prices, and political and economic uncertainty,” he said in the press release. Emirates President Tim Clark hinted at the positive figures in a recent interview with CNBC, citing “very resilient demand” for travel. “A lot of people are flying today and plenty more want to fly,” Cook said on May 2.

In the financial year 2022, Emirates invested 7.2 billion dirhams in new aircraft, facilities, equipment, companies and tech, and has committed to acquiring five new Boeing 777 aircraft, opening the world’s largest vertical farm in Dubai, and building a new pilot training centre.The positive figures enabled Emirates to repay 3 billion dirhams of debt raised during the Covid-19 crisis, and Emirates’ owner, Investment Corporation of Dubai, received a dividend payout of 4.5 billion dirhams, it said yesterday.Other airline companies have also enjoyed the post-pandemic uptick in passenger numbers, with easyJet raising its profit expectations, and Alaska Airlines and Southwest Airlines both having reported strong demand.