Emirates’ half-year
performance hits new record
Emirates has announced yet another record performance
with a net profit for the first six months of the current financial
year 2006-07 at Dhs 1.2 billion (US$ 323 million), up 29 per cent
compared to Dhs 922 million (US$ 251 million) recorded in the same
period last year.
The results reflect a strong revenue performance
driven by robust passenger and cargo demand, and better yields,
which softened the impact of high fuel prices on operating costs.
Emirates’ operating revenue of Dhs 13.5 billion (US$3.67 billion)
for the half-year represented a strong growth of 30 per cent compared
to revenue of Dhs 10.4 billion (US$2.84 billion) during the same
period last year, a airline statement said.
Passenger revenue recorded a 31 percent growth,
with passengers carried increasing by 1.41 million or 20 percent
to 8.39 million, compared to 6.98 million for the first half-year
of 2005-06. Seat factor improved to 76.4 percent for the period,
reflecting the robust demand in tandem with an increased passenger
seat capacity (in terms of available seat kilometres) of 25 per
cent, versus the same period last year.
Emirates SkyCargo continued its steady revenue
growth, posting an increase of 29 per cent to Dhs 2.7 billion, with
cargo tonnage up by 20 per cent to 577,455 tonnes, compared with
482,643 tonnes for the same period last year, and maintained its
contribution at about 21 percent of the airline’s transport
revenue.
Emirates’ Chairman & Chief Executive,
H.H. Sheikh Ahmed bin Saeed Al Maktoum, said: "Emirates has
delivered another excellent half-year performance, maintaining capacity
and revenue growth despite the challenges faced by high fuel costs.
“Emirates has been in a strong position
to tap into the robust demand for air travel globally by expanding
its route network with a new high-capacity aircraft, and investing
in passenger services such as dedicated airport lounges across Europe,
Far East, Australia and Asia. In the coming months, we intend to
continue with our growth plans while keeping a close watch on costs.”
Fuel costs for the first six months crossed US$1
billion and remained the top expenditure accounting for 30.7 per
cent of total operating costs, up from 27.2 per cent for the full
period last year. Measures taken by Emirates to remain on target
include stringent cost-containment and efficiency drives, but like
other airlines, Emirates has been forced to maintain fuel surcharges
on tickets, which do not fully cover the escalating costs.
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