VP hails Emirates’ success as its profit soars to Dhs18.7b
DUBAI: The Emirates Group on Monday released its 2023-24 Annual Report, hitting new record profit, revenue, and cash balance levels.
Both Emirates and dnata saw significant profit and revenue increases in 2023-24, as the Group expanded its operations around the world to meet strong customer demand for its high-quality products and services.
For the financial year ended 31st March 2024, the Emirates Group posted a record profit of Dhs18.7 billion ($5.1 billion), up 71% compared with an Dhs10.9 billion ($3.0 billion) profit for last year.
The Group’s revenue was Dhs137.3 billion ($ 37.4 billion), an increase of 15% over last year’s results.
His Highness Sheikh Mohammed Bin Rashid, Vice President, Prime Minister of the UAE and Ruler of Dubai, hailed the record progress of the airlines.
“Emirates Airlines is a story of challenge that emerged 39 years ago, changing the world of aviation into something that was no longer the same as it was before,” Sheikh Mohammed wrote on X.
“The company experienced many challenges, adapted to multiple circumstances and contributed to the success of Dubai and the UAE at the economic, tourism and development level, connecting Dubai to hundreds of cities across the five continents of the world. Today, its total income has reached in one year Dhs137 billion,” said Sheikh Mohammed
“We would like to thank the work team led by Sheikh Ahmed Bin Saeed and to appreciate those who were with us over four decades of non-stop work and flights. What comes next will be more beautiful, greater and better, God willing,” he concluded.
The Group’s cash balance was Dhs47.1 billion ($12.8 billion), the highest ever reported, up 11% from last year.
Combined Group profits for the last 2 years, at Dhs29.6 billion, surpass pandemic losses of Dhs25.9 billion during 2020-2022.
Sheikhahmedbinsaeedalmaktoum,chairman and Chief Executive, Emirates airline and Group, said, “The Emirates Group has once again raised the bar to deliver a new record performance. Throughout the year, we saw high demand for air transport and travel related services around the world, and because we were able to move quickly to deliver what customers want, we achieved tremendous results. We are reaping the benefit of years of non-stop investments in our products and services, in building strong partnerships, and in the capabilities of our talented people.”
“Huge credit is also due to the UAE’S visionary leaders, especially Sheikh Mohammed Bin Rashid. It is thanks to their leadership and the nation’s progressive policies that the Emirates Group is able to flourish. Both Emirates and dnata have forged successful business models leveraging Dubai’s unique advantages, in turn generating enormous value for Dubai and the communities they serve around the world.”
Sheikh Ahmed added, “The Group’s excellent financial standing today places us in a strong position for future growth and success. It enables us to invest to deliver even better products, services, and more value to our customers and stakeholders.”
He said, “We enter our 2024-25 financial year on strong foundations for continued growth. Emirates will receive delivery of 10 new A350 aircraft in 2024-25, adding to our fleet mix and supporting the next phase of its network growth. dnata will continue to leverage synergies and scale across its business divisions to grow its footprint and capabilities. In tandem, we are investing resources to minimise our environmental impact, develop our people, look after our customers and the communities we serve.”
He added, “Looking further ahead, the Dubai government has announced plans to start the next phase of expansion at Al Maktoum International Airport, which will eventually be the new hub for Emirates and dnata’s operations. This Dhs128 billion ($35 billion) investment will significantly expand and enhance Dubai’s aviation and logistics infrastructure, supporting the city’s growth, and Emirates’ and dnata’s growth.”
The airline will pay its staff a bonus equivalent to 20 weeks’ salary, according to an internal staff email seen by Reuters.
Emirates’ total passenger and cargo capacity increased by 20% to 57.7 billion ATKMS in 2023-24, recovering to near pre-pandemic levels.
The airline hit a new record profit of Dhs17.2 billion ($4.7 billion) exceeding last year’s Dhs10.6 billion ($2.9 billion) result, with an exceptional profit margin of 14.2%, marking it the best performance in the airline’s history.
Emirates carried 51.9 million passengers (up 19%) in 2023-24, with seat capacity up by 21%.
The cargo division reported a solid revenue of Dhs13.6 billion ($3.7 billion), contributing 11% to the airline’s total revenue.
At the end of 2023-24, Emirates’ Skycargo’s total freighter fleet stood at 11 Boeing 777Fs. The cargo division expects delivery of its 5 additional Boeing 777Fs on order from mid-2024.
Emirates continued to meet all its regular aircraft-related payment obligations and repaid an additional Dhs2.2 billion ($596 million) from the Dhs17.5 billion ($4.8 billion) borrowed during the COVID-19 crisis.