12 May 2010

Emirates Group sees record profit hike

Emirates Group has posted a record profit increase of 248% despite the global recession.

The Emirates Group, which includes Emirates Airline and Dnata, saw its profits grow to AED 4.2 billion (US$ 1.1 billion) for the financial year ended March 31 2010.

His Highness Sheikh Ahmed bin Saeed Al Maktoum, chairman and chief executive, Emirates Airline and Group, said: Ã¢â¬ÅâœIt has been an exceptional year of continued profitability against a backdrop of the worst global recession in generations.

Ã¢â¬ÅâœThe first half of the financial year however, was extremely challenging as the world continued to grapple with the economic crisis.

Ã¢â¬ÅâœOur pioneering spirit and ability to adapt in adverse conditions helped us to push through this harsh economic climate with an extremely strong performance in the latter part of the year.Ã¢â¬~

Emirates Group profit margin improved to 9.1% from 2.6% a year earlier.

Emirates AirlineÃ¢â¬â¢s revenues remained stable at AED 43.5 billion ($US 11.8 billion), an increase of 0.4% from the previous year.

Airline profits of AED 3.5 billion (US$ 964 million) marked an increase of 416% over 2008-09Ã¢â¬â¢s profits of AED 686 million (US$ 187 million).

Passenger numbers for Emirates Airline grew 21% to 27.5 million passengers.

Meanwhile, Dnata achieved its highest ever profit in its 50 year history. Profits increased by 20.9% to reach a AED 613 million (US$ 167 million) Ã¢â¬Åâœdespite an intensely tough business climate for airport and cargo operationsÃ¢â¬~.

Revenue remained stable with a marginal drop of 0.7% to AED 3.2 billion (US$ 861 million).

By Bev Fearis