Emirates Profits Decline Amid Weakened Travel Demands
The Emirates Group today announced its 29th consecutive year of profit and steady business expansion, despite a turbulent year for aviation and air travel.
Released today in its 2016-17 Annual Report, the Emirates Group posted an AED 2.5 billion (US$ 670 million) profit for the financial year ending 31 March 2017, down 70% from last year’s record profit.
The Group’s revenue reached AED 94.7 billion (US$ 25.8 billion), an increase of 2% over last year’s results, and the Group’s cash balance decreased by 19% to AED 19.1 billion (US$ 5.2 billion) mainly due to the repayment of two bonds on maturity and ongoing high investments into its fleet and aircraft related assets.
In 2016-17, the Group collectively invested AED 13.7 billion (US$ 3.7 billion) in new aircraft and equipment, the acquisition of companies, modern facilities, the latest technologies, and staff initiatives.
Across its more than 80 subsidiaries and companies, the Group increased its total workforce by 11% to over 105,000-strong, representing over 160 different nationalities.
Emirates’ total passenger and cargo capacity crossed the 60 billion mark, to 60.5 billion ATKMs at the end of 2016-17, cementing its position as the world’s largest international carrier. The airline increased capacity during the year by 4.1 billion Available Tonne Kilometres (ATKMs), or 7% over 2015-16.
During the year under review, Emirates received 35 new aircraft, its highest number during a financial year, comprising of 19 A380s and 16 Boeing 777-300ERs.