His Highness Sheikh Ahmed bin Saeed Al Maktoum, Supreme President and Chief Executive Officer of «Emirates Airlines» and the group said: “(Emirates Airlines) and (dnata) achieved a strong performance during the first 11 months of the fiscal year 2019/2020, and we were in Our way to reach our set goals, but things started to turn upside down since mid-February, due to the spread of pandemic (Covid-19) in various regions of the world ».
External factors
His Highness added: “Our industry is always vulnerable to being affected by many external factors, even without a pandemic. The growing strength of the US dollar against major currencies during FY 2019/2020 eroded our profits by an estimated billion dirhams. The demand for air freight also remained sluggish for most of the year, while competition intensified in our main markets.
His Highness affirmed that “despite these challenges combined, (Emirates Airlines) and (dnata) were able to continue achieving profitability for the 32nd year in a row, thanks to the good demand for our products and services, especially in the second and third quarters of the fiscal year, in addition to a decrease "Average fuel prices on an annual basis."
His Highness added, "Our capabilities and ability to adapt and resilience are tested every year, and we are guided in making our decisions always with our long-term goals, which are to create and develop profitable, sustainable and responsible business in Dubai."
His Highness said: “During the fiscal year 2019/2020, we continued our focus on controlling costs, while investing in expanding our business and developing our revenues at the same time. The rationalization of recruitment activities and the adoption of new work technology and structure allowed us to improve productivity and control the high cost of labor. ”His Highness pointed out that with the outbreak of the pandemic, various measures were taken to protect employees and ensure the health and safety of citizens and customers.
The pandemic of "Covid-19"
His Highness continued, “There is no doubt that the (Covid-19) pandemic will have a severe impact on our performance during the current fiscal year 2020/2021, given that passengers have been temporarily suspended since March 25, and the dnata business has also been affected as a result "To stop the traffic and the demand to travel around the world."
His Highness said: «While we are currently planning to resume our operations, we continue to take strict measures to control costs, and to take other necessary steps to protect our business, and we expect that at least 18 months, and possibly more, will pass before the demand for travel returns to normal. We are in constant contact with policymakers and various relevant parties working to define standards to ensure the health and safety of travelers and operators in the post-pandemic world. Until then, Emirates Airlines and Dnata stand ready to resume work and serve our customers as soon as conditions permit. ”