Emirates airline produced a net profit of US$205 million (Ksh15.375 billion), for the first six months of its current financial year ending 30th September 2009.
This represents a 165 percent improvement compared to US$77 million (Ksh5.775 billion) net profits for the same period in 2008.
During this period the airline carried over 13 million passengers and over 700,000 tonnes of cargo, and in the process also helped other businesses operating at Dubai International Airport achieve growth in revenue and traffic.
Speaking while the results His Highness Sheikh Ahmed bin Saeed Al-Maktoum, Chairman and Chief Executive, Emirates airline and Group said Emirates remained focused on its long-term strategy despite the global economic slowdown.
"The months since the global meltdown have really tested our mettle. Unlike others in the industry, Emirates did not cut back on its product, service or people. Instead, we invested in these areas and looked to our people to develop ever more innovative ways to manage costs, improve efficiencies, reallocate resources, and drive alternative strategies for the business. Emirates' latest half-year performance testifies to the airline's strong business foundations and agility in adapting to the challenging global economic environment."
In the first-half of its financial year 2009-10, Emirates posted strong business growth, both in terms of capacity on offer and traffic carried compared to the corresponding period in 2008, performance that has been in stark contrast to the current trend seen across the aviation industry.
Capacity measured in Available Seat Kilometers (ASKM), grew by 22%, whilst passenger traffic carried measured in Revenue Passenger Kilometers (RPKM) was up 21 percent with Passenger Seat Factor sustained at a high level, averaging 77.5 percent, slightly down compared to 78.3 percent for last year.
The volume of cargo uplifted was in line with last year.
Total revenue at US$ 5.4 billion (Ksh405 billion) was lower by 13.5 percent compared with US$ 6.2 billion (Ksh465 billion) recorded last year, largely reflecting lower passenger and cargo yields.
However, total expenditure at US$ 5.2 billion (Ksh390 billion) was 15.8% lower than US$ 6.1 billion (457.5 billion) last year, helped by cost containment measures and lower jet fuel prices.
"While some say the green shoots of economy recovery are sprouting, we expect it will take at least another year or two, before demand for air transport and travel services starts picking up again. In the meantime, Emirates is well-placed to weather the rest of the storm. We will continue to chart our course with long-term goals in mind while staying flexible to maximize opportunities and mitigate risks," said Sheikh Ahmed
Emirates' cash position (including held to maturity cash investments of Ksh4 billion) on 30th September was US$1.8 billion (Ksh235 billion), compared to US$2.0 billion (Ksh150 billion) six months earlier.
This was after funding a significant ongoing capital expenditure programme that included pre-delivery payments for new aircraft on order, building projects in Dubai, and an upgrade of the interiors of some of the existing fleet.
During the first half, Emirates successfully raised aircraft financing of US$0.9 billion (Ksh67.5 billion).
