Emirates posts $6bn loss amid Covid-19 crisis

Staff Correspondent

16 June, 2021 12:00 AM printer

The Emirates Group posted a loss of US$ 6.0 billion for the financial year ended March 31, 2021 compared with a US$ 456 million profit for last year due to Covid-19 pandemic impact.

The Group’s revenue was US$ 9.7 billion, a decline of 66 percent over last year’s results, said a press release.

The Emirates Group on Tuesday announced its first year of loss in over 30 years caused by a significant drop in revenue, fully attributed to the impact of Covid-19 related flight and travel restrictions throughout its entire financial year 2020-21.

Emirates airline the main concern of the group, due to ongoing pandemic-related flight and travel restrictions reported a loss of US$ 5.5 billion after last year’s US$ 288 million profit, and a negative profit margin of 65.6 percent.

Emirates’ total passenger and cargo capacity declined by 58 percent due to pandemic related flight and travel restrictions including a complete suspension of commercial passenger services for nearly eight weeks as directed by the UAE government from March 25, 2020.

Emirates’ total revenue for the financial year declined 66 percent to US$ 8.4 billion.

Emirates carried 6.6 million passengers in 2020-21, with seat capacity down by 83 percent. From zero scheduled passenger flights at the start of the financial year, to operations in over 120 destinations by 31 March 2021.

Emirates SkyCargo, freighter division of Emirates put in a stellar performance by rapidly responding to new demand in a changed global marketplace, contributing to 60 percent of the airline’s total transport revenue.