- Emirates Records $670m Profit Amid Downturn
The Emirates Group says it has recorded 29th consecutive year of profit and steady business expansion, despite a turbulent year for global aviation and travel.
The airline said it recorded about $670m profit in the last financial year in its recently released 2016 – 2017 Annual Report.
“The Emirates Group posted an AED 2.5bn ($ 670m) profit for the financial year ending March 31, 2017, down 70 per cent from last year’s record profit. The group’s revenue reached AED 94.7bn ($ 25.8bn), an increase of two per cent over last year’s results, and the group’s cash balance decreased by 19 per cent to AED 19.1bn ($ 5.2bn) mainly due to the repayment of two bonds on maturity and ongoing high investments into its fleet and aircraft-related assets,” the group said in a statement.
“In line with the current business climate and to support the future investment plans of the group, no dividend payment will be made to the Investment Corporation of Dubai for 2016-17,” the group added.
According to the airline, its workforce has also grown to over 105,000.
The Chairman and Chief Executive, Emirates Airline and Group, Ahmed bin Saeed Al Maktoum, was quoted to have said that Emirates had continued to deliver profits and grow the business, despite 2016-17 being one of the group’s most challenging years.
He said, “Over the years, we have invested to build our business capabilities and brand reputation. We now reap the benefits as these strong foundations have helped us to weather the destabilising events, which have impacted on travel demand during the year – from the Brexit vote to Europe’s immigration challenges and terror attacks.”
According to the group, in 2016-17, it has invested AED 13.7bn ($ 3.7bn) in new aircraft and equipment, the acquisition of companies, modern facilities, the latest technologies, and staff initiatives, which have further strengthened the business.