Emirates Reports First Half Net Loss of $1.6 Billion on 81 Percent Revenue Increase to $6.7 Billion
Emirates has reported a first half 2021/22 FY loss of AED 5.7 billion (US $1.6 billion) on an 81 percent year-over-year increase in revenue to AED 24.7 billion (US $6.7 billion). The carrier cut their H1 loss by over 50% versus H1 2020 loss of AED 14.1 billion (US $3.8 billion).
On Wednesday (November 10, 2021), Emirates Group reported their first half (H1) FY 2021/22 financial results for the period ending September 30, 2021. The Group reported a H1 net loss of AED 5.7 billion (US $1.6 billion) on an 81 percent year-over-year increase in revenue to AED 24.7 billion (US $6.7 billion). The Group cut their H1 loss by over 50 percent compared to a loss of 14.1 billion (US $3.8 billion) during the first half of financial year 2020-21. Emirates Airline reported a H1 loss of AED 5.8 billion (US $1.6 billion) on an 86 percent increase in revenue to AED 21.7 billion (US $5.9 billion), compared to a loss of AED 12.6 billion (US $3.4 billion) during the same period last year. The Group’s dnata division reported a first half profit of AED 3.7 billion (US $23 million) on a year-over-year revenue increase of 55 percent to AED 3.7 billion (US $1.0 billion).
In Wednesday’s announcement, Emirates Airline and Group’s Chairman and Chief Executive, His Highness Sheikh Ahmed bin Saeed Al Maktoum, said,
“As we began our 2021-22 financial year, COVID-19 vaccination programmes were being rolled out at unprecedented scale around the world. Across the Group, we saw operations and demand pick up as countries started to ease travel restrictions. This momentum accelerated over the summer and continues to grow steadily into the winter season and beyond. Our cargo transport and handling businesses continued to perform strongly, providing the bedrock upon which we were able to quickly reinstate passenger services. While there’s still some way to go before we restore our operations to pre-pandemic levels and return to profitability, we are well on the recovery path with healthy revenue and a solid cash balance at the end of our first half of 2021-22.
“We would like to thank our customers for their continued support, as well as all our aviation and travel industry stakeholders and partners for their efforts that have made it possible for international air travel to resume safely and smoothly. Our ability to pivot and pull through the toughest period in our history to date, can be attributed to Emirates’ and dnata’s strong brands, high quality products and services, digital and innovation capabilities, and our amazing people. We intend to continue investing in these core areas to take our business into the future, together with the leaner processes and new technology capabilities that we’ve implemented in the past months.”
The Group also reported an EBITDA of AED 5.6 billion (US $1.5 billion), a dramatic turnaround compared to a negative EBITDA of AED 43 million (US $12 million) during the same period in financial year 2020-21. At September 30, 2021, the Group had AED 18.8 billion (US $5.1 billion) in cash, compared to AED 19.8 billion (US $5.4 billion) on March 31, 2021. During H1 2021-22, the company's Owner further injected AED 2.5 billion (US $681 million) into Emirates by way of an equity investment, and they continue to support the airline on its recovery course.
During the first six moths of the financial year 2021-22, Emirates took delivery of two new Airbus A380s and retired two older aircraft from their fleet, as part of the company’s long-standing strategy to improve overall efficiency, reduce emissions and provide high quality guest experiences.
In July 2021, Emirates launched new service between Dubai and Miami, and during H1 the Group activated codeshare and interline partnerships with Airlink, Aeromar, Azul, Cemair and South African Airways. As of September 30, 2021, Emirates was operating passenger and cargo services to 139 airports, utilizing their entire Boeing 777 fleet and 37 flagship Airbus A380 super jumbo aircraft. At the end of H1 2021-22, Emirates had 73,571 team members, down marginally by two percent compared to March 31, 2021.