Emirates logs $2.5 bn half-year profit amid Mideast crises

Dubai’s Emirates Group announced half-year profits of $2.5 billion on Thursday, citing robust demand despite conflicts in the Middle East.

The airline group, operating from the world’s busiest airport for international traffic, has faced regional disruptions due to the conflicts, but has expanded its network elsewhere.

Pre-tax profits of 10.4 billion dirhams ($2.8 billion) in the six months to September were a record for the group, but were subject to the United Arab Emirates’ new 9.0 percent corporate tax for the first time.

“We expect customer demand to remain strong for the rest of 2024-25, and we look forward to increasing our capacity to grow revenues,” group chairman and CEO Sheikh Ahmed bin Saeed Al Maktoum said in a statement.

“The outlook is positive,” he said, with more aircraft expected to join the fleet and expanded facilities for dnata, Emirates’ ground services arm.

Emirates flights to Israel, Lebanon, Iraq, Jordan and Iran — a close neighbour of the UAE — have all been affected by conflicts stemming from the Israel-Hamas war in Gaza, which erupted in October last year.

However, Emirates, one of the world’s leading long-haul carriers, also increased flights to eight destinations in Europe, Africa and Asia.

Group revenue rose 5.0 percent to $19.3 billion on “consistently strong customer demand across business divisions, and across regions”, the statement said.

Emirates group closed the financial half-year with cash reserves of $11.9 billion, down from $12.8 billion in March.

It paid a previously announced $540 million dividend to its owner, the government of Dubai — one of the UAE’s seven sheikhdoms. (BSS/AFP)