Emirates airline passenger traffic has hit a record of 39.4 million passengers, an increase of 16 percent over the last one year.
With an increase in seat capacity-Available Seat Kilometres (ASKMs) of 18 percent, the result highlights a strong consumer desire to fly on Emirates’ state-of-the-art aircraft.
Emirates logged a robust Passenger Seat Factor (PSF), at 80 percent, remaining consistent with last year’s results.
This was announced by the Emirates Group as it declared its 25th consecutive year of profit and company-wide growth ending the year in a strong position despite continuing high fuel prices and a weak global economic environment.
The financial year also ended with some very positive newly reached capacity milestones throughout the business.
Speaking during this event, Ahmed bin Saeed Al Maktoum, chairman and chief executive, Emirates Airline and Group, said “Achieving our 25th consecutive year of profit in a financial year with our largest ever increase in capacity across the network is an achievement that speaks of the strength of our brands and our leadership. Throughout the 2012-13 financial year the Group has collectively invested over US$ 3.8billion in new aircraft, products, services and handling facilities as well as the newly opened JW Marriott Marquis Hotel in Dubai.
“This investment has resulted in an increased customer base and a rise in global brand awareness. Every dirham that we earn is strategically placed back into our business and it is this tenacious approach that has allowed the Group to maintain such strong and consistent profitability under challenging circumstances.”
In spite of the difficult operating environment, the Group continued to invest in and expand on its employee base, increasing its overall staff count by 12 percent to 68,000. Emirates continued with its growth plan and during the financial year saw the largest increase in capacity in the airline’s history receiving a staggering 34 new aircraft, the highest in any single year and an unprecedented achievement. These aircraft were funded by raising more than $7.8 billion, also a first, through a variety of financing structures.
Overall capacity measured in Available Tonne Kilometres (ATKMs) increased by 5.5 billion tonne-kilometres. Other significant capacity increases include launching 10 new destinations across six continents, shipping more than 2 million tonnes of cargo for the first time and carrying an additional 5.4 million passengers over last year, the highest increase in a financial year. In the 2012-13 financial year Emirates’ fuel bill increased by 15 percent over last year to reach AED 27.9 billion ($ 7.6 billion). With total operating costs increasing by 16 per cent compared to a revenue increase of 17 percent over last year.
“Managing volatile exchange rates, coupled with a persistently high fuel bill accounting for 40 percent of our total expenditures, has required continued strong resolve, even with these lingering challenges we continue to grow and remain profitable despite the industry norms because we continue to rely on our proven business model and understanding of the marketplace,” he added.
SADE WILLIAMS
