Demand for air travel, following the global economic crisis, will take a year or two for improvements to be seen, says the head of one of the world’s most innovative and progressive airlines.
“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 maximise opportunities and mitigate risks,” Sheikh Ahmed bin Saeed Al-Maktoum, Chairman and Chief Executive, Emirates airline and Group said in his half-yearly review to shareholders.
Emirates Airlines recorded a net profit of US$205 million for the first six months of its current financial year ending 30th September 2009, sharply up by 165% compared to US$77 million net profits for the same period in 2008, according to an airline press release.
The airline said it supported and stimulated growth in the aviation and tourism industry by continuing fleet and network expansion with eight new aircrafts, two new destinations launched and additional frequencies. Emirates also improved on its ongoing programme to install the latest inflight entertainment systems and mobile connectivity across its fleet and invested in the training and retention of its 29,000-strong staff.
The press release stated that total revenue at US$5.4 billion was lower by 13.5% compared with US$ 6.2 billion recorded last year, largely reflecting lower passenger and cargo yields. However, total expenditure at US$5.2 billion was 15.8% lower than US$6.1 billion last year, helped by cost containment measures and lower jet fuel prices.
Sheikh Saeed Al-Maktoum said: “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.” |
E-mail