Emirates Posts First Loss in Three Decades as Virus Slams Travel - Bloomberg

Emirates Posts First Loss in Three Decades as Virus Slams Travel - Bloomberg

Results

• Emirates airline reported a loss of 20.3 billion dirhams down from 1.1 billion dirhams profit in the previous year
• Revenue at the airline declined 66% to 30.9 billion dirhams
• Dnata reported a loss of 1.8 billion dirhams vs 618 million dirhams profit

Emirates Group, owner of the world’s largest long-haul airline prior to the Covid-19 pandemic, slumped to a 22.1 billion dirhams ($6 billion) loss in the financial year ended March as the virus upended demand for air travel.

The state-owned company received a capital injection of 11.3 billion dirhams ($3.1 billion) from its owner, the government of Dubai. Its dnata unit tapped industry support programs and availed relief of nearly 800 million dirhams, Chairman Sheikh Ahmed Bin Saeed Al Maktoum said.

“Emirates and dnata were hit hard by the drop in demand for international air travel as countries closed their borders and imposed stringent travel restrictions,” Sheikh Ahmed said. Emirates Group reduced total workforce by 31% to 75,145 employees.

Emirates has been hit especially hard by the pandemic, with widespread border curbs making it impossible for people to make the inter-continental journeys in which it specializes.

The Gulf carrier responded by grounding most of its fleet of Airbus SE A380 superjumbos, while its Boeing Co. 777s are struggling with lower passenger loads and mainly transporting cargo.