Dubai - November 12, 2011- Emirates Airliners taxi at Dubai International Airport's Terminal 3 in Dubai, November 12, 2011. (Photo by Jeff Topping/The National)
Emirates Airline profits are flying high in the first six months of its financial year. Jeff Topping/The National

Emirates Airline doubles 6-monthly profit to Dh1.7 billion



Emirates Airline doubled net profits in the first six months of its fiscal year despite a volatile global economic environment and consistently high fuel prices.

The airline achieved net profits of Dh1.7 billion in the six months up to September 30, up 104 per cent from Dh836 million in the same period last year.

Emirates Group, which includes ground-handling unit dnata, posted net profits of Dh2.1 billion, up 68 per cent from Dh1.3bn.

"The Emirates Group half-year performance is the result of hard work and our drive to stay on course and continue to grow despite the precarious marketplace," said Sheikh Ahmed bin Saeed Al Maktoum, chairman and chief executive of Emirates Group.

"We have continued to invest in the infrastructure of both Emirates and dnata and it continues to pay off."

Revenue and other operating income for the group was Dh38.2 billion, an increase of 16 per cent, as the airline saw greater occupancy across its flights.

The airline's revenue was Dh35.4bn, up 17 per cent compared with Dh30.2 billion recorded in the first six months of its last fiscal year.

It carried 18.7 million passengers in the six-month fiscal period, up 15.4 per cent from the same period last year.

Soaring fuel prices plagued the Dubai carrier's results for the last financial year, causing it to suffer a 72 per cent decline in profits as jet fuel prices added an extra US$1.6 billion to costs.

"Emirates remained focused on its growth and global expansion despite on-going fluctuating exchange rates and ever lingering high fuel prices which accounted for 39 per cent of our expenditures, down 2 percentage points from last year," said Sheikh Ahmed.

"The instability in the market over the past six months has put Emirates to the test, and once again we have risen to the challenge, our results speak for themselves."

The growth of Gulf airlines, spear-headed by Emirates, continue to outpace that of other carriers around the world

The industry has undergone a major shift this year as legacy carriers have embraced Gulf airlines - Emirates, Etihad Airways and Qatar Airways - through various partnerships and alliance tie-ups.

In September, Emirates and Qantas signed a landmark deal to route the Australian carrier's flights to Europe through Dubai rather than Singapore.

According to the International Air Transport Association (IATA) global traffic returns, demand for Middle East airlines rose 13.3 per cent year-on-year in September compared to worldwide demand for passenger traffic of just 4.1 per cent above September 2011 levels.

Moreover, in October, Iata upgraded this year's anticipated global airlines earnings to $4.1bn from its June forecast of $3bn, driven by Middle East carriers.

Emirates now flies to 126 destinations, up from 114 last year, in 74 countries compared with 67 last year, making it one of the world's biggest airlines.

It received 13 wide-body aircraft in the first six months of its fiscal year, including two A380s and 10 Boeing 777s, and has more than 15 new aircraft scheduled to be delivered before the end of the financial year, which closes at the end of March.

Seat factor, a measure of occupancy across the Emirates fleet of planes, increased to 80 percent, up from 79 per cent in the same period last year.

The airline has launched five new destinations since the beginning of April, including Ho Chi Minh City, Barcelona, Lisbon, Erbiland Washington DC.

New routes to be added during the second half of the fiscal year include Adelaide, which launched November 1, and Lyon, Phuket, Warsaw and Algiers.

The Emirates Group grew its staff base 8 per cent in six months to nearly 68,000 and is cash position as at September 30 was Dh15.2bn compared to Dh17.6bn at the end of March.

The Dh2.4bn difference in the cash balance was predominantly as a result of the group repaying a Dh2bn Sukuk bond in June 2012.

Bert van Marwijk factfile

Born: May 19 1952
Place of birth: Deventer, Netherlands
Playing position: Midfielder

Teams managed:
1998-2000 Fortuna Sittard
2000-2004 Feyenoord
2004-2006 Borussia Dortmund
2007-2008 Feyenoord
2008-2012 Netherlands
2013-2014 Hamburg
2015-2017 Saudi Arabia
2018 Australia

Major honours (manager):
2001/02 Uefa Cup, Feyenoord
2007/08 KNVB Cup, Feyenoord
World Cup runner-up, Netherlands

The specs

Engine: 2.3-litre 4cyl turbo
Power: 299hp at 5,500rpm
Torque: 420Nm at 2,750rpm
Transmission: 10-speed auto
Fuel consumption: 12.4L/100km
On sale: Now
Price: From Dh157,395 (XLS); Dh199,395 (Limited)

The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.

Read part three: the age of the electric vehicle begins

Read part two: how climate change drove the race for an alternative 

Read part one: how cars came to the UAE

Specs

Price, base: Dhs850,000
Engine: 3.9-litre twin-turbo V8
Transmission: Seven-speed automatic
Power: 591bhp @ 7,500rpm
Torque: 760Nm @ 3,000rpm
Fuel economy, combined: 11.3L / 100km

Team Angel Wolf Beach Blast takes place every Wednesday between 4:30pm and 5:30pm

Company profile

Name: Homie Portal LLC

Started: End of 2021 

Founder: Abdulla Al Kamda 

Based: Dubai

Sector: FinTech 

Initial investment: Undisclosed 

Current number of staff: 14 

Investment stage: Launch 

Investors: Self-funded

Rankings

ATP: 1. Novak Djokovic (SRB) 10,955 pts; 2. Rafael Nadal (ESP) 8,320; 3. Alexander Zverev (GER) 6,475 (+1); 5. Juan Martin Del Potro (ARG) 5,060 (+1); 6. Kevin Anderson (RSA) 4,845 (+1); 6. Roger Federer (SUI) 4,600 (-3); 7. Kei Nishikori (JPN) 4,110 (+2); 8. Dominic Thiem (AUT) 3,960; 9. John Isner (USA) 3,155 (+1); 10. Marin Cilic (CRO) 3,140 (-3)

WTA: 1. Naomi Osaka (JPN) 7,030 pts (+3); 2. Petra Kvitova (CZE) 6,290 (+4); 3. Simona Halep (ROM) 5,582 (-2); 4. Sloane Stephens (USA) 5,307 (+1); 5. Karolina Pliskova (CZE) 5,100 (+3); 6. Angelique Kerber (GER) 4,965 (-4); 7. Elina Svitolina (UKR) 4,940; 8. Kiki Bertens (NED) 4,430 (+1); 9. Caroline Wozniacki (DEN) 3,566 (-6); 10. Aryna Sabalenka (BLR) 3,485 (+1)

If you go

There are regular flights from Dubai to Addis Ababa with Ethiopian Airlines with return fares from Dh1,700. Nashulai Journeys offers tailormade and ready made trips in Africa while Tesfa Tours has a number of different community trekking tours throughout northern Ethiopia. The Ben Abeba Lodge has rooms from Dh228, and champions a programme of re-forestation in the surrounding area.



INVESTMENT PLEDGES

Cartlow: $13.4m

Rabbitmart: $14m

Smileneo: $5.8m

Soum: $4m

imVentures: $100m

Plug and Play: $25m

Long read
Company Profile

Name: HyveGeo
Started: 2023
Founders: Abdulaziz bin Redha, Dr Samsurin Welch, Eva Morales and Dr Harjit Singh
Based: Cambridge and Dubai
Number of employees: 8
Industry: Sustainability & Environment
Funding: $200,000 plus undisclosed grant
Investors: Venture capital and government

TWISTERS

Director:+Lee+Isaac+Chung

Starring:+Glen+Powell,+Daisy+Edgar-Jones,+Anthony+Ramos

Rating:+2.5/5

Brief scores:

Toss: Nepal, chose to field

UAE 153-6: Shaiman (59), Usman (30); Regmi 2-23

Nepal 132-7: Jora 53 not out; Zahoor 2-17

Result: UAE won by 21 runs

Series: UAE lead 1-0

Director: Nag Ashwin

Starring: Prabhas, Saswata Chatterjee, Deepika Padukone, Amitabh Bachchan, Shobhana

Rating: ★★★★

A QUIET PLACE

Starring: Lupita Nyong'o, Joseph Quinn, Djimon Hounsou

Director: Michael Sarnoski

Rating: 4/5

KEY DATES IN AMAZON'S HISTORY

July 5, 1994: Jeff Bezos founds Cadabra Inc, which would later be renamed to Amazon.com, because his lawyer misheard the name as 'cadaver'. In its earliest days, the bookstore operated out of a rented garage in Bellevue, Washington

July 16, 1995: Amazon formally opens as an online bookseller. Fluid Concepts and Creative Analogies: Computer Models of the Fundamental Mechanisms of Thought becomes the first item sold on Amazon

1997: Amazon goes public at $18 a share, which has grown about 1,000 per cent at present. Its highest closing price was $197.85 on June 27, 2024

1998: Amazon acquires IMDb, its first major acquisition. It also starts selling CDs and DVDs

2000: Amazon Marketplace opens, allowing people to sell items on the website

2002: Amazon forms what would become Amazon Web Services, opening the Amazon.com platform to all developers. The cloud unit would follow in 2006

2003: Amazon turns in an annual profit of $75 million, the first time it ended a year in the black

2005: Amazon Prime is introduced, its first-ever subscription service that offered US customers free two-day shipping for $79 a year

2006: Amazon Unbox is unveiled, the company's video service that would later morph into Amazon Instant Video and, ultimately, Amazon Video

2007: Amazon's first hardware product, the Kindle e-reader, is introduced; the Fire TV and Fire Phone would come in 2014. Grocery service Amazon Fresh is also started

2009: Amazon introduces Amazon Basics, its in-house label for a variety of products

2010: The foundations for Amazon Studios were laid. Its first original streaming content debuted in 2013

2011: The Amazon Appstore for Google's Android is launched. It is still unavailable on Apple's iOS

2014: The Amazon Echo is launched, a speaker that acts as a personal digital assistant powered by Alexa

2017: Amazon acquires Whole Foods for $13.7 billion, its biggest acquisition

2018: Amazon's market cap briefly crosses the $1 trillion mark, making it, at the time, only the third company to achieve that milestone

Kill

Director: Nikhil Nagesh Bhat

Starring: Lakshya, Tanya Maniktala, Ashish Vidyarthi, Harsh Chhaya, Raghav Juyal

Rating: 4.5/5

Biog

Age: 50

Known as the UAE’s strongest man

Favourite dish: “Everything and sea food”

Hobbies: Drawing, basketball and poetry

Favourite car: Any classic car

Favourite superhero: The Hulk original

Company Profile

Company name: Hoopla
Date started: March 2023
Founder: Jacqueline Perrottet
Based: Dubai
Number of staff: 10
Investment stage: Pre-seed
Investment required: $500,000

INFO

What: DP World Tour Championship
When: November 21-24
Where: Jumeirah Golf Estates, Dubai
Tickets: www.ticketmaster.ae.

Company profile

Name: Yodawy
Based: Egypt
Founders: Karim Khashaba, Sherief El-Feky and Yasser AbdelGawad
Sector:
HealthTech
Total funding: $24.5 million
Investors: Algebra Ventures, Global Ventures, MEVP and Delivery Hero Ventures, among others
Number of employees:
500

UAE athletes heading to Paris 2024

Equestrian
Abdullah Humaid Al Muhairi, Abdullah Al Marri, Omar Al Marzooqi, Salem Al Suwaidi, and Ali Al Karbi (four to be selected).
Judo
Men: Narmandakh Bayanmunkh (66kg), Nugzari Tatalashvili (81kg), Aram Grigorian (90kg), Dzhafar Kostoev (100kg), Magomedomar Magomedomarov (+100kg); women's Khorloodoi Bishrelt (52kg).

Cycling
Safia Al Sayegh (women's road race).

Swimming
Men: Yousef Rashid Al Matroushi (100m freestyle); women: Maha Abdullah Al Shehi (200m freestyle).

Athletics
Maryam Mohammed Al Farsi (women's 100 metres).