Oil prices plunge into close, roiled by inflation fears | Reuters
Oil prices slumped on Thursday, hit by a surge in the dollar after U.S. President Joe Biden said his administration was looking for ways to reduce energy costs amid a broader surge in inflation.
Brent and U.S. crude futures dropped sharply at the end of the session as traders sold out of riskier assets, including stocks and commodities, driven by expectations that central bankers will take steps to curb rising prices.
Consumer inflation data on Wednesday showed U.S. prices were rising at a 6.2% year-over-year rate, their fastest rate in three decades, and may spur both the White House and U.S. Federal Reserve to take action to head that off. That boosted the dollar, which often trades inversely to oil. read more
Brent crude futures settled down $2.14, or 2.5%, to $82.64 a barrel. That contract hit a high of $85.50 on the session before retreating. U.S. crude settled down $2.81, or 3.3%, to $81.34 after reaching a high of $84.97 a barrel, just off seven-year highs touched in the last few weeks.
"There's, no doubt, more pressure on the administration after the inflation reading numbers today," said Phil Flynn, senior analyst at Price Futures Group. "There’s a growing concern the Fed may have to go back to acting more aggressively on a rate increase, so that’s given the dollar a rally."
Wednesday 10 November 2021
Air Arabia swings to profit as travel demand improves
Air Arabia swings to profit as travel demand improves
Middle East budget airline Air Arabia swung to a profit in the third quarter as passenger traffic more than doubled across its five bases amid a gradual recovery in air travel from the Covid-19 pandemic.
Net profit for the three-month period to the end of September stood at Dh209 million ($57m), compared with a loss of Dh44.1m in the same period a year ago that was affected by pandemic-triggered travel restrictions, Air Arabia said on Wednesday. Revenue for the quarter more than doubled to Dh804m, compared with Dh294m in the corresponding period last year.
"This performance is supported by the gradual resumption of operations this year, especially in the third quarter, as well as the cost control measures adopted by the management team since the start of the pandemic," said Sheikh Abdullah bin Mohamed Al Thani, chairman of Air Arabia.
The Sharjah airline has been pushing ahead with expansion in the wake of the Covid-19 pandemic last year as low-cost airlines bet on a recovery in short-haul travel demand amid rapid vaccine campaigns around the world. Air Arabia signed three joint-venture deals to establish new airlines in Abu Dhabi, Armenia and Pakistan.
Middle East budget airline Air Arabia swung to a profit in the third quarter as passenger traffic more than doubled across its five bases amid a gradual recovery in air travel from the Covid-19 pandemic.
Net profit for the three-month period to the end of September stood at Dh209 million ($57m), compared with a loss of Dh44.1m in the same period a year ago that was affected by pandemic-triggered travel restrictions, Air Arabia said on Wednesday. Revenue for the quarter more than doubled to Dh804m, compared with Dh294m in the corresponding period last year.
"This performance is supported by the gradual resumption of operations this year, especially in the third quarter, as well as the cost control measures adopted by the management team since the start of the pandemic," said Sheikh Abdullah bin Mohamed Al Thani, chairman of Air Arabia.
The Sharjah airline has been pushing ahead with expansion in the wake of the Covid-19 pandemic last year as low-cost airlines bet on a recovery in short-haul travel demand amid rapid vaccine campaigns around the world. Air Arabia signed three joint-venture deals to establish new airlines in Abu Dhabi, Armenia and Pakistan.
Moody's upgrades #AbuDhabi company Senaat's rating
Moody's upgrades Abu Dhabi company Senaat's rating
Moody’s Investors Service upgraded Abu Dhabi’s industrial holding company Senaat's issuer rating to "A1", from "A3", citing the positive impact linked to parent company ADQ's involvement in its business.
Senaat's rating is only two notches below that of ADQ, which was rated "Aa2" – the third-highest investment grade rating given by Moody's, and at par with the Abu Dhabi government, the agency said on Wednesday.
An "A1" rating indicates a company is well-placed to meet its debt obligations. It is the fifth-highest investment grade rating at Moody's.
The rating agency also upgraded to "A1" the ratings of the senior unsecured $3 billion trust certificate issuance programme of Senaat Sukuk Limited and the senior unsecured debt issued under the programme.
Moody’s Investors Service upgraded Abu Dhabi’s industrial holding company Senaat's issuer rating to "A1", from "A3", citing the positive impact linked to parent company ADQ's involvement in its business.
Senaat's rating is only two notches below that of ADQ, which was rated "Aa2" – the third-highest investment grade rating given by Moody's, and at par with the Abu Dhabi government, the agency said on Wednesday.
An "A1" rating indicates a company is well-placed to meet its debt obligations. It is the fifth-highest investment grade rating at Moody's.
The rating agency also upgraded to "A1" the ratings of the senior unsecured $3 billion trust certificate issuance programme of Senaat Sukuk Limited and the senior unsecured debt issued under the programme.
Oil prices steady ahead of U.S. inventory report | Reuters
Oil prices steady ahead of U.S. inventory report | Reuters
Oil prices were broadly steady after earlier losses on Wednesday, as a potential drop in U.S. crude stocks and tighter supplies lent support.
Brent crude futures were at $84.91 a barrel by 1439 GMT, up 13 cents, or 0.2%. U.S. West Texas Intermediate (WTI) crude futures fell by 5 cents, or 0.1%, to $84.10.
Market sources said that API data showed U.S. crude stocks declined by 2.5 million barrels for the week to Nov. 5, defying analysts' estimates for a 2.1 million build in crude stocks in a Reuters poll.
"After the strong rally over the last few days, oil prices are in a wait and see mode," said UBS analyst Giovanni Staunovo.
Oil prices were broadly steady after earlier losses on Wednesday, as a potential drop in U.S. crude stocks and tighter supplies lent support.
Brent crude futures were at $84.91 a barrel by 1439 GMT, up 13 cents, or 0.2%. U.S. West Texas Intermediate (WTI) crude futures fell by 5 cents, or 0.1%, to $84.10.
Market sources said that API data showed U.S. crude stocks declined by 2.5 million barrels for the week to Nov. 5, defying analysts' estimates for a 2.1 million build in crude stocks in a Reuters poll.
"After the strong rally over the last few days, oil prices are in a wait and see mode," said UBS analyst Giovanni Staunovo.
#Saudi index leads most Gulf bourses higher | Reuters
Saudi index leads most Gulf bourses higher | Reuters
Most stock markets in the Gulf ended higher on Wednesday, with the Saudi index rising for fourth session in five, while a blue-chip sell-off weighed on Egypt.
Saudi Arabia's benchmark index (.TASI) advanced 0.9%, with Al Rajhi Bank (1120.SE) and Saudi National Bank (1180.SE) gaining 1.4% and 3% respectively.
Saudi Arabia sold $3.25 billion in dual-tranche bonds on Tuesday comprising a sukuk tranche and a conventional portion in its third international bond sale of the year, a term sheet viewed by Reuters showed. read more
Moody's on Friday upgraded Saudi Arabia's outlook to "stable" from "negative", saying it was likely to reverse most of its 2020 debt increase while preserving fiscal buffers.
Egypt's blue-chip index (.EGX30) fell 0.9%, as most of the stocks were in negative territory including top lender Commercial International Bank (COMI.CA), which retreated 1.4%.
In Abu Dhabi, the index (.ADI) gained 0.4%, with record high within sight, driven by a 1.5% gain in telecoms firm Etisalat (ETISALAT.AD).
Among other gainers, ADNOC Drilling (ADNOCDRILL.AD) finished 2.5% higher. The unit of Abu Dhabi National Oil Company (ADNOC), the largest national drilling company in the Middle East by rig fleet size, posted a rise of almost 50% in third-quarter profit on Wednesday, driven by new rigs and reactivation of others this year, in addition to an increase in oilfield services. read more
Dubai's main share index (.DFMGI) dropped 0.4%, hit by a 1.8% fall in Emirates NBD Bank (ENBD.DU) and a 1.6% decline in blue-chip developer Emaar Properties (EMAR.DU), ahead of earnings announcement.
Union Properties (UPRO.DU) plunged 9.9%, after media reports, including by Bloomberg, said its chairman Khalifa Al Hammadi had been detained amid an investigation. A spokesman for Union Properties declined to comment in the Bloomberg report.
The United Arab Emirates attorney general announced the investigation in October into allegations of financial violations by the chairman and other officials of Union Properties, state news agency WAM had reported. read more
The Dubai stock market stalled after the large increases that followed the government's announcement regarding the introduction of 10 state-owned companies to the DFM as investors become cautious in the face of possible price corrections, said Farah Mourad, senior market analyst of XTB MENA.
The Qatari index (.QSI) added 0.2%, with petrochemical maker Industries Qatar (IQCD.QA) rising 1.1%.
Saudi Arabia's benchmark index (.TASI) advanced 0.9%, with Al Rajhi Bank (1120.SE) and Saudi National Bank (1180.SE) gaining 1.4% and 3% respectively.
Saudi Arabia sold $3.25 billion in dual-tranche bonds on Tuesday comprising a sukuk tranche and a conventional portion in its third international bond sale of the year, a term sheet viewed by Reuters showed. read more
Moody's on Friday upgraded Saudi Arabia's outlook to "stable" from "negative", saying it was likely to reverse most of its 2020 debt increase while preserving fiscal buffers.
Egypt's blue-chip index (.EGX30) fell 0.9%, as most of the stocks were in negative territory including top lender Commercial International Bank (COMI.CA), which retreated 1.4%.
In Abu Dhabi, the index (.ADI) gained 0.4%, with record high within sight, driven by a 1.5% gain in telecoms firm Etisalat (ETISALAT.AD).
Among other gainers, ADNOC Drilling (ADNOCDRILL.AD) finished 2.5% higher. The unit of Abu Dhabi National Oil Company (ADNOC), the largest national drilling company in the Middle East by rig fleet size, posted a rise of almost 50% in third-quarter profit on Wednesday, driven by new rigs and reactivation of others this year, in addition to an increase in oilfield services. read more
Dubai's main share index (.DFMGI) dropped 0.4%, hit by a 1.8% fall in Emirates NBD Bank (ENBD.DU) and a 1.6% decline in blue-chip developer Emaar Properties (EMAR.DU), ahead of earnings announcement.
Union Properties (UPRO.DU) plunged 9.9%, after media reports, including by Bloomberg, said its chairman Khalifa Al Hammadi had been detained amid an investigation. A spokesman for Union Properties declined to comment in the Bloomberg report.
The United Arab Emirates attorney general announced the investigation in October into allegations of financial violations by the chairman and other officials of Union Properties, state news agency WAM had reported. read more
The Dubai stock market stalled after the large increases that followed the government's announcement regarding the introduction of 10 state-owned companies to the DFM as investors become cautious in the face of possible price corrections, said Farah Mourad, senior market analyst of XTB MENA.
The Qatari index (.QSI) added 0.2%, with petrochemical maker Industries Qatar (IQCD.QA) rising 1.1%.
Rivian (RIVN) IPO Delivers Near $9 Billion Fortune for #Saudi Investor - Bloomberg
Rivian (RIVN) IPO Delivers Near $9 Billion Fortune for Saudi Investor - Bloomberg
A Saudi family that built its business on gasoline-fueled cars is sitting on an almost $8.9 billion fortune after electric truck maker Rivian Automative Inc.’s initial public offering.
Abdul Latif Jameel, a Jeddah-based group named after its founder and today run by his sons, holds almost 114 million shares in Rivian acquired through $303 million of loans made to the U.S. company, according to the sale prospectus. Shares of Rivian are due to start trading in New York Wednesday at $78 each, valuing the company at about $76.4 billion on a fully diluted basis.
The stake puts Abdul Latif Jameel alongside the biggest backers of Irvine, California-based Rivian, including Amazon.com Inc. and Ford Motor Co. The Saudi company, founded in 1945 as a small trading business, is now better known in its home market as the distributor for Toyota Motor Corp.’s vehicles.
Abdul Latif Jameel’s investment unit acquired warrants for Rivian stock in 2018. It was the first investment by the Saudi company, according to Rivian’s IPO filings, though an article in the magazine of management consultant McKinsey & Co. published in 2020 said it had first invested eight years earlier.
A Saudi family that built its business on gasoline-fueled cars is sitting on an almost $8.9 billion fortune after electric truck maker Rivian Automative Inc.’s initial public offering.
Abdul Latif Jameel, a Jeddah-based group named after its founder and today run by his sons, holds almost 114 million shares in Rivian acquired through $303 million of loans made to the U.S. company, according to the sale prospectus. Shares of Rivian are due to start trading in New York Wednesday at $78 each, valuing the company at about $76.4 billion on a fully diluted basis.
The stake puts Abdul Latif Jameel alongside the biggest backers of Irvine, California-based Rivian, including Amazon.com Inc. and Ford Motor Co. The Saudi company, founded in 1945 as a small trading business, is now better known in its home market as the distributor for Toyota Motor Corp.’s vehicles.
Abdul Latif Jameel’s investment unit acquired warrants for Rivian stock in 2018. It was the first investment by the Saudi company, according to Rivian’s IPO filings, though an article in the magazine of management consultant McKinsey & Co. published in 2020 said it had first invested eight years earlier.
Oil prices slip ahead of U.S. inventory report | Reuters
Oil prices slip ahead of U.S. inventory report | Reuters
Oil prices slipped after early gains on Wednesday, though a potential drop in U.S. crude stocks and tighter supplies capped losses.
Brent crude futures were at $84.56 a barrel by 1101 GMT, down 22 cents, or 0.3%, after touching a session high of $85.50.
U.S. West Texas Intermediate (WTI) crude futures fell by 49 cents, or 0.6%, to $83.66 after rising close to $85.
Market sources said that API data showed U.S. crude stocks declined by 2.5 million barrels for the week to Nov. 5, defying analysts' estimates for a 2.1 million build in crude stocks in a Reuters poll.
"After the strong rally over the last few days, oil prices are in a wait and see mode," said UBS analyst Giovanni Staunovo.
Oil prices slipped after early gains on Wednesday, though a potential drop in U.S. crude stocks and tighter supplies capped losses.
Brent crude futures were at $84.56 a barrel by 1101 GMT, down 22 cents, or 0.3%, after touching a session high of $85.50.
U.S. West Texas Intermediate (WTI) crude futures fell by 49 cents, or 0.6%, to $83.66 after rising close to $85.
Market sources said that API data showed U.S. crude stocks declined by 2.5 million barrels for the week to Nov. 5, defying analysts' estimates for a 2.1 million build in crude stocks in a Reuters poll.
"After the strong rally over the last few days, oil prices are in a wait and see mode," said UBS analyst Giovanni Staunovo.
#Qatar Foundation Among 'New Breed' of Climate Investors - Bloomberg video
Qatar Foundation Among 'New Breed' of Climate Investors - Bloomberg
Qatar's leading philanthropy is teaming up with Rolls Royce to accelerate development of climate tech startups, in what could be a new model for the non-profit sector to back innovation in such technology. Qatar Foundation International CEO Omran Al Kuwari spoke to Bloomberg's Simone Foxman for "Bloomberg Daybreak: Middle East."
#UAE’s Taqa Looks at Acquisitions to Boost Power Business - Bloomberg
UAE’s Taqa Looks at Acquisitions to Boost Power Business - Bloomberg
Abu Dhabi’s biggest utility is looking at acquisitions to grow its power business and should conclude a review into selling oil and gas assets by the end of March.
“We are in the market,” Jasim Husain Thabet, chief executive officer of Abu Dhabi National Energy Co., said to Bloomberg Television when asked about power and water investments. “We have an ambitious growth strategy and we have the cashflow and balance sheet to support that. We will be exploring all opportunities for organic and inorganic growth.”
He declined to comment on whether the company, known as Taqa, is still weighing an investment in Masdar, a renewable-energy producer owned by Abu Dhabi sovereign wealth fund Mubadala.
Taqa wants to increase its power capacity in the United Arab Emirates to 30 gigawatts from 18 GW, he said. It’s also looking to build 15 GW abroad.
The company is considering selling its oil and gas assets in the Netherlands, the U.K, Iraqi Kurdistan and Canada.
“We should be a position toward the end of the first quarter to conclude that review and convey that message to the market,” Thabet said. “We’re focusing on becoming a power and water company. Oil prices and commodity prices -- we’re trying to move away from that.”
On Wednesday, Taqa reported net income for the third quarter of 1.4 billion dirhams ($381 million), double the amount from a year earlier.
Abu Dhabi’s biggest utility is looking at acquisitions to grow its power business and should conclude a review into selling oil and gas assets by the end of March.
“We are in the market,” Jasim Husain Thabet, chief executive officer of Abu Dhabi National Energy Co., said to Bloomberg Television when asked about power and water investments. “We have an ambitious growth strategy and we have the cashflow and balance sheet to support that. We will be exploring all opportunities for organic and inorganic growth.”
He declined to comment on whether the company, known as Taqa, is still weighing an investment in Masdar, a renewable-energy producer owned by Abu Dhabi sovereign wealth fund Mubadala.
Taqa wants to increase its power capacity in the United Arab Emirates to 30 gigawatts from 18 GW, he said. It’s also looking to build 15 GW abroad.
The company is considering selling its oil and gas assets in the Netherlands, the U.K, Iraqi Kurdistan and Canada.
“We should be a position toward the end of the first quarter to conclude that review and convey that message to the market,” Thabet said. “We’re focusing on becoming a power and water company. Oil prices and commodity prices -- we’re trying to move away from that.”
On Wednesday, Taqa reported net income for the third quarter of 1.4 billion dirhams ($381 million), double the amount from a year earlier.
Union Properties shareholders vote to dismiss chairman, three board members | ZAWYA MENA Edition
Union Properties shareholders vote to dismiss chairman, three board members | ZAWYA MENA Edition
Shareholders of Dubai’s Union Properties have voted to dismiss the company’s board chairman and three other board members, according to a disclosure to the Dubai Financial Market (DFM).
The shareholders approved the dismissal of Khalifa Hassan Al Hammadi, who has served as chairman of the developer’s board since July 2020, as well as vice chairman Fathi Ben Grira and members Dahi Yousif Al Mansouri and Jorg Klar, during a recent general assembly.
With the dismissal, three board members are left in post – Darwish Abdulla Al Ketbi, Mohammad Fardan Al Fardan and Abdul Wahab Al Halabi.
The general assembly also voted to not ratify the auditor’s report ending December 31, 2020, or the balance sheet and the profit and loss account of the company for the same period.
Shareholders of Dubai’s Union Properties have voted to dismiss the company’s board chairman and three other board members, according to a disclosure to the Dubai Financial Market (DFM).
The shareholders approved the dismissal of Khalifa Hassan Al Hammadi, who has served as chairman of the developer’s board since July 2020, as well as vice chairman Fathi Ben Grira and members Dahi Yousif Al Mansouri and Jorg Klar, during a recent general assembly.
With the dismissal, three board members are left in post – Darwish Abdulla Al Ketbi, Mohammad Fardan Al Fardan and Abdul Wahab Al Halabi.
The general assembly also voted to not ratify the auditor’s report ending December 31, 2020, or the balance sheet and the profit and loss account of the company for the same period.
#UAE aims for 20 $1 bln startups by 2031, says minister | Reuters
UAE aims for 20 $1 bln startups by 2031, says minister | Reuters
The United Arab Emirates aims to become home to 20 startups worth more than $1 billion each, knownas 'unicorns', in the next decade, its Minister of State for Entrepreneurship and SMEs, Ahmad al-Falasi, said on Wednesday.
At the launch of the Entrepreneurial Nation project in Dubai, Falasi said the UAE aimed to do more to solidify its position as a top destination for international investment in the Gulf. It has lately seen increased competition from Saudi Arabia, which has been pushing foreign firms and startups to invest there and set up regional headquarters in Riyadh.
"When it comes to entrepreneurship specifically it’s always about competition," Falasi told Reuters when asked about competition with Saudi Arabia. "Every country is different, Saudi Arabia is a different market than UAE. Entrepreneurs view the UAE as a platform for growth into the region."
The UAE has an advantage attracting foreign capital because its population is overwhelmingly foreign workers, he said.
The United Arab Emirates aims to become home to 20 startups worth more than $1 billion each, knownas 'unicorns', in the next decade, its Minister of State for Entrepreneurship and SMEs, Ahmad al-Falasi, said on Wednesday.
At the launch of the Entrepreneurial Nation project in Dubai, Falasi said the UAE aimed to do more to solidify its position as a top destination for international investment in the Gulf. It has lately seen increased competition from Saudi Arabia, which has been pushing foreign firms and startups to invest there and set up regional headquarters in Riyadh.
"When it comes to entrepreneurship specifically it’s always about competition," Falasi told Reuters when asked about competition with Saudi Arabia. "Every country is different, Saudi Arabia is a different market than UAE. Entrepreneurs view the UAE as a platform for growth into the region."
The UAE has an advantage attracting foreign capital because its population is overwhelmingly foreign workers, he said.
#Dubai ruler investment vehicle weighs IPO of business park operator TECOM -sources | Reuters
Dubai ruler investment vehicle weighs IPO of business park operator TECOM -sources | Reuters
Dubai Holding, the investment vehicle of Dubai's ruler Sheikh Mohammed bin Rashid al-Maktoum, is weighing an initial public offering of business park operator TECOM Group, three sources told Reuters.
U.S. investment banks Morgan Stanley (MS.N) and Goldman Sachs (GS.N) and Swiss bank UBS (UBSG.S) are close to securing a mandate for roles on the public share sale, said the sources, who declined to be named as the matter is not public.
TECOM Group and Dubai Holding did not immediately respond to a request for comment. Morgan Stanley and Goldman Sachs declined to comment.
One of the sources said banks were still pitching and may still join the syndicate of advisors.
Dubai Holding, the investment vehicle of Dubai's ruler Sheikh Mohammed bin Rashid al-Maktoum, is weighing an initial public offering of business park operator TECOM Group, three sources told Reuters.
U.S. investment banks Morgan Stanley (MS.N) and Goldman Sachs (GS.N) and Swiss bank UBS (UBSG.S) are close to securing a mandate for roles on the public share sale, said the sources, who declined to be named as the matter is not public.
TECOM Group and Dubai Holding did not immediately respond to a request for comment. Morgan Stanley and Goldman Sachs declined to comment.
One of the sources said banks were still pitching and may still join the syndicate of advisors.
#AbuDhabi's ADNOC Drilling reports rise of almost 50% in Q3 profit | Reuters
Abu Dhabi's ADNOC Drilling reports rise of almost 50% in Q3 profit | Reuters
ADNOC Drilling (ADNOCDRILL.AD) posted a rise of almost 50% in third-quarter profit on Wednesday, driven by new rigs and reactivation of others this year, in addition to an increase in oilfield services.
The unit of Abu Dhabi National Oil Company, which went public last month, made a profit of $178.4 million in the three months ending Sept. 30, up from $119.5 in the corresponding period a year ago, it said in a statement.
ADNOC Drilling, the largest national drilling company in the Middle East by rig fleet size, had 107 rigs by June 30, 96 owned and 11 rented.
ADNOC Drilling (ADNOCDRILL.AD) posted a rise of almost 50% in third-quarter profit on Wednesday, driven by new rigs and reactivation of others this year, in addition to an increase in oilfield services.
The unit of Abu Dhabi National Oil Company, which went public last month, made a profit of $178.4 million in the three months ending Sept. 30, up from $119.5 in the corresponding period a year ago, it said in a statement.
ADNOC Drilling, the largest national drilling company in the Middle East by rig fleet size, had 107 rigs by June 30, 96 owned and 11 rented.
Losses at Emirates Airline Business Narrow With Flight Bookings Pick Up - Bloomberg
Losses at Emirates Airline Business Narrow With Flight Bookings Pick Up - Bloomberg
Emirates Group, owner of the world’s largest long-haul airline prior to the Covid-19 pandemic, reported a narrower half-year loss as travel restrictions eased and passenger numbers rose.
“We saw operations and demand pick up as countries started to ease travel restrictions,” Chairman and Chief Executive Officer Sheikh Ahmed bin Saeed Al Maktoum said in a statement. “This momentum accelerated over the summer and continues to grow steadily into the winter season and beyond.”
The airline reported a net loss of 5.7 billion dirhams ($1.6 billion), less than half the 14.1 billion-dirham loss a year earlier. Revenue for the six months through September rose 81% to 24.7 billion dirhams.
International travel is starting to pick up again, with U.S. opening up flights from Europe, along with countries including India, Brazil and China. Emirates generated positive weekly cash flow for the first time since the pandemic started, President Tim Clark told Airline Ratings in an interview published Nov. 7. He is aiming to fully restore its route network by June or July 2022.
Emirates is being helped by higher yields on both passenger and cargo businesses, Clark said. He said added passenger flights are providing more space to fill with belly freight.
The state-owned company received a capital injection of $681 million in the first half from its owner, the government of Dubai. It had received $3.1 billion in the financial year that ended in March.
“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,” Sheikh Ahmed said.
Emirates Group, owner of the world’s largest long-haul airline prior to the Covid-19 pandemic, reported a narrower half-year loss as travel restrictions eased and passenger numbers rose.
“We saw operations and demand pick up as countries started to ease travel restrictions,” Chairman and Chief Executive Officer Sheikh Ahmed bin Saeed Al Maktoum said in a statement. “This momentum accelerated over the summer and continues to grow steadily into the winter season and beyond.”
The airline reported a net loss of 5.7 billion dirhams ($1.6 billion), less than half the 14.1 billion-dirham loss a year earlier. Revenue for the six months through September rose 81% to 24.7 billion dirhams.
International travel is starting to pick up again, with U.S. opening up flights from Europe, along with countries including India, Brazil and China. Emirates generated positive weekly cash flow for the first time since the pandemic started, President Tim Clark told Airline Ratings in an interview published Nov. 7. He is aiming to fully restore its route network by June or July 2022.
Emirates is being helped by higher yields on both passenger and cargo businesses, Clark said. He said added passenger flights are providing more space to fill with belly freight.
The state-owned company received a capital injection of $681 million in the first half from its owner, the government of Dubai. It had received $3.1 billion in the financial year that ended in March.
“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,” Sheikh Ahmed said.
Most Gulf bourses firm in early trade; #Dubai falls | Reuters
Most Gulf bourses firm in early trade; Dubai falls | Reuters
Most Gulf stock markets firmed in early trade on Wednesday amid rising oil prices, although the Dubai index was dragged down by bluechips.
Saudi Arabia's benchmark index (.TASI) edged up 0.1%, with Al Rajhi Bank (1120.SE) rising 0.4% and Saudi National Bank (1180.SE), the kingdom's largest lender, gaining 0.8%.
Saudi Arabia sold $3.25 billion in dual-tranche bonds on Tuesday, comprising a sukuk tranche and a conventional portion in its third international bond sale of the year, a term sheet viewed by Reuters showed. read more
In Abu Dhabi, the index (.ADI) edged 0.1% higher, helped by a 0.7% gain in telecoms firm Etisalat (ETISALAT.AD).
Among other gainers, ADNOC Drilling (ADNOCDRILL.AD) advanced 2.2%. The unit of Abu Dhabi National Oil Company (ADNOC), which went public last month, posted a rise of almost 50% in third-quarter profit on Wednesday, driven by new rigs and reactivation of others this year, in addition to an increase in oilfield services. read more
Dubai's main share index (.DFMGI) inched 0.3% lower, hit by a 1.1% fall in Emirates NBD Bank (ENBD.DU) and a 0.4% decrease in blue-chip developer Emaar Properties (EMAR.DU).
Union Properties (UPRO.DU) tumbled 7.4%, after media reports said its chairman Khalifa Al Hammadi had been detained amid investigation. read more
Separately, Dubai's Emirates airline got a further 2.5 billion dirhams ($681 million) in state support in the first half of the year, the airline said on Wednesday, as it announced first half losses had halved. read more
The Qatari index (.QSI) added 0.1%, with Commercial Bank (COMB.QA) rising 0.8%.
Qatar's government budget recorded a surplus of 0.9 billion riyals ($247.25 million) in the third quarter, boosting the nine-month surplus in 2021 to 4.9 billion riyals, as higher energy prices increased the Gulf nation's revenue.
Most Gulf stock markets firmed in early trade on Wednesday amid rising oil prices, although the Dubai index was dragged down by bluechips.
Saudi Arabia's benchmark index (.TASI) edged up 0.1%, with Al Rajhi Bank (1120.SE) rising 0.4% and Saudi National Bank (1180.SE), the kingdom's largest lender, gaining 0.8%.
Saudi Arabia sold $3.25 billion in dual-tranche bonds on Tuesday, comprising a sukuk tranche and a conventional portion in its third international bond sale of the year, a term sheet viewed by Reuters showed. read more
In Abu Dhabi, the index (.ADI) edged 0.1% higher, helped by a 0.7% gain in telecoms firm Etisalat (ETISALAT.AD).
Among other gainers, ADNOC Drilling (ADNOCDRILL.AD) advanced 2.2%. The unit of Abu Dhabi National Oil Company (ADNOC), which went public last month, posted a rise of almost 50% in third-quarter profit on Wednesday, driven by new rigs and reactivation of others this year, in addition to an increase in oilfield services. read more
Dubai's main share index (.DFMGI) inched 0.3% lower, hit by a 1.1% fall in Emirates NBD Bank (ENBD.DU) and a 0.4% decrease in blue-chip developer Emaar Properties (EMAR.DU).
Union Properties (UPRO.DU) tumbled 7.4%, after media reports said its chairman Khalifa Al Hammadi had been detained amid investigation. read more
Separately, Dubai's Emirates airline got a further 2.5 billion dirhams ($681 million) in state support in the first half of the year, the airline said on Wednesday, as it announced first half losses had halved. read more
The Qatari index (.QSI) added 0.1%, with Commercial Bank (COMB.QA) rising 0.8%.
Qatar's government budget recorded a surplus of 0.9 billion riyals ($247.25 million) in the third quarter, boosting the nine-month surplus in 2021 to 4.9 billion riyals, as higher energy prices increased the Gulf nation's revenue.