Dubai airline blames rising fuel costs
Posting a massive 76% fall in net profits yesterday for the first half of its financial year, the equivalent of $225 million (€162 million), Emirates placed the blame squarely on rising fuel prices. The airline, whose financial year starts on April 1, said that oil prices were responsible for inflicting an extra $1 billion in costs during the period. Fluctuating exchange rates have also been a problem.
Passenger revenues in the first half were up 18%, with seat load factor staying at 79%. However, the rapidly expanding airline has also recruited 3,400 new staff. Emirates has taken delivery of 10 new widebody aircraft to add to a fleet of 161 aircraft. Another 13 new planes are scheduled for delivery by April next year.