Emirates is well positioned to maintain its strategic advantage

Emirates is well positioned to maintain its strategic advantage both in the GCC and beyond due to its strong cash balance of $11 billion and arrival of new aircraft that will help bolster the airline’s organic growth in the years to come, says an analyst.

Saj Ahmad, chief analyst at London-based StrategicAero Research, said Emirates first half performance demonstrates the intrinsic demand for travel that has been bolstered by the airline widening its route network and growing its freight operations.

“The world’s leading airline continued investments across its huge A380 and 777 fleets, especially with the introduction of the new Premium Economy products – something unique to the GCC and that no other GCC airline offers. This competitive advantage has seen Emirates carry almost 27 million passengers while showcasing a robust 80 per cent passenger seat factor,” Ahmad told Khaleej Times.

Reaching new heights

On November 7, Emirates airline posted Dh8.7 billion after tax profit during the first-half of financial year 2024-25 while profit before tax climbed to record Dh9.7 billion compared to Dh9.5 billion in the same period last year.

The airline’s revenue, including other operating income, rose five per cent to Dh62.2 billion as against Dh59.5 billion in the same period last year due to consistently strong travel and air cargo demand across markets, and its ability to offer customers great value and services.

Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates Airline and Group, said the group is investing billions of dollars to bring new products and services to the market.

“We expect customer demand to remain strong for the rest of 2024-25, and we look forward to increasing our capacity to grow revenues as new aircraft join the Emirates fleet and new facilities come online at dnata. The outlook is positive, but we don’t intend to rest on our laurels. We will stay agile in deploying our capacity and resources in a dynamic marketplace,” Sheikh Ahmed said.

Increasing connectivity

Emirates continued to enhance its network and increase connectivity options through its Dubai hub as the airline increased scheduled flights to eight cities — Amsterdam, Cebu, Clark, Luanda, Lyon, Madrid, Manila and Singapore, during the first half of 2024-25.

The airline also strengthened connectivity options for customers by entering into new agreements with seven codeshare, interline, and intermodal partners — AirPeace, Avianca, Blade, ITA Airways, Iceland Air, SNCF Railway, and Viva Aerobus.

The airline, which has 259 aircraft in its fleet, expanded its passenger and cargo network to 148 airports in 80 countries by 30 September. It carried 26.9 million passengers and 1.2 million tonnes of cargo during the first half of 2024-25.

Expanding network

— muzaffarrizvi@khaleejtimea.com