Emirates profit plunges, outlook “bleak”

Uncertainty and increased competition pressure prices
First-half profits at the world’s biggest airline by international traffic plunged 64% amid global uncertainty and a rising US dollar, with its chairman calling the outlook “bleak”.
Net income at Emirates Group fell to 1.3 billion dirhams (€325 million) in the six months to the end of September, from 3.7 billion dirhams a year earlier, even though revenues remained steady at 46.5 billion dirhams.
“The bleak global economic outlook appears to be the new norm, with no immediate resolution in sight,” Emirates Chairman Sheikh Ahmed bin Saeed Al Maktoum said in a statement. “We continue to make strategic investments because we know we have to work even harder for every customer.”
Emirates is suffering turbulence as low oil prices sap demand for premium bookings from executives in the oil and gas industry, terrorist attacks in Europe scare off Asian passengers and the strong dollar holds back revenue growth. Meanwhile, the company continues to invest heavily in new aircraft.