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Emirates Reports Record $3 Billion Profit in Huge Post-Pandemic Turnaround

Emirates Reports Record $3 Billion Profit in Huge Post-Pandemic Turnaround

airplanes on a runway

The Emirates Group reported its best-ever financial performance on Tuesday after it posted a $3 billion profit for 2022/23 on the back of revenues of 19.8 billion Dirhams (US$ 32.6 billion).

Group chairman and chief executive Sheikh Ahmed bin Saeed Al Maktoum said the business, which includes Emirates Airline, Dnata ground handling services and a slew of ancillary companies, had made a “full recovery” following the devastating impact of the pandemic on the airline and hospitality industries.

“We had anticipated the strong return of travel, and as the last travel restrictions lifted and triggered a tide of demand, we were ready to expand our operations quickly and safely to serve our customers,” Sheikh Ahmed said.

“As a result, we have delivered a record financial performance and cash balance for our financial year 2022-23,” he continued.

The airline made the bulk of the Emirate group’s bumper profits at $2.9 billion, compared with a significant loss of $1.1 billion during 2021-22. Revenues increased by 81% to $29.3 billion, but profits were offset by rising fuel and employee costs, as well as currency fluctuations.

Emirates reported a surge in passenger numbers to 43.6 million passengers during the financial year – an increase of 123% on the previous period. Load factor, which is a measure of how many seats on any given flight have been sold and occupied, came in at an average of 78% for 2022-23.

The SkyCargo freight division contributed 16% of the airline’s annual revenues, while Emirates’ portfolio of hotels brought in $184 million.

Last August, the Dubai-based carrier earmarked $2 billion to “enhance its inflight customer experience” which include plans to retrofit more than 120 aircraft with new interiors. So far, six Airbus A380s have received the new look, which includes a Premium Economy cabin.

The airline also said on Tuesday that it would invest $200 million over the next three years to find new solutions to reduce the airline industry’s impact on the environment.

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