Emirates SkyCargo tonnage up 18% in 2023-24
Cargo yield per freight tonne kilometre declined by 32%, returning to pre-pandemic marketplace levels
Photos Credit: Emirates Group
Emirates SkyCargo carried 2.2 million tonnes of goods around the world in 2023-24, up 18 percent from the previous year as increased passenger operations expanded available cargo capacity.
"The leasing of three 747 freighters during the year unlocked immediate capacity to serve demand on busy routes," says an official release. "This reflects the high customer demand for its specialist logistics solutions, the reach and connectivity of Emirates’ global network, Dubai’s world-class sea-air hub capabilities and Emirates SkyCargo’s investments in digital technology, infrastructure, and products."
The cargo division of Emirates Group reported revenue of AED 13.6 billion ($3.7 billion), down 21 percent from last year, contributing 11 percent to the airline’s total revenue, the release added. "Cargo yield per freight tonne kilometre (FTKM) declined by 32 percent, returning to pre-pandemic marketplace levels.
"Tonnages for both scheduled and freighter operations grew significantly (20 percent and 11 percent, respectively). Demand was particularly strong for perishable goods from India, Pakistan and South Africa, primarily destined for Europe and the GCC countries."
During the year, Emirates SkyCargo launched Emirates Vital and Emirates Medical Devices, two purpose-built cargo solutions to serve the unique requirements of the life sciences and healthcare sector. "It also launched Emirates Delivers in Kuwait to connect shoppers there with e-commerce brands in the U.K., the U.S., and the UAE. Emirates Delivers is poised to scale significantly in the coming years, focussing on markets underserved by business-to-consumer delivery solutions." Emirates Delivers reported a 16 percent year-over-year revenue increase alongside a significant 21 percent growth in volume.
At the end of 2023-24, Emirates’ SkyCargo’s total freighter fleet stood at 11 Boeing 777Fs. The cargo division expects delivery of its five additional Boeing 777Fs on order from mid-2024.
Emirates Group revenue up 15%
Emirates Group reported a 15 percent increase in revenue at AED 137.3 billion ($37.4 billion), driven by strong customer demand across its businesses. Emirates Group reported record profit of AED 18.7 billion ($5.1 billion), up 71 percent from AED 10.9 billion ($3 billion) last year.
"Combined Group profits for the last two years, at AED 29.6 billion, surpass pandemic losses of AED 25.9 billion during 2020-2022."
dnata reported profit of AED 1.4 billion ($400 million) compared to AED 331 million ($90 million) profit last year. Revenue increased 29 percent to AED 19.2 billion ($5.2 billion), "reflecting increased customer flight activity and travel demand across its UAE and worldwide business divisions."
Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates airline and Group says: “The Emirates Group has once again raised the bar to deliver a new record performance. Throughout the year, we saw high demand for air transport and travel related services around the world, and because we were able to move quickly to deliver what customers want, we achieved tremendous results. We are reaping the benefit of years of non-stop investments in our products and services, in building strong partnerships, and in the capabilities of our talented people.
“Huge credit is also due to the UAE’s visionary leaders, especially Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai. It is thanks to their leadership and the nation’s progressive policies that the Emirates Group is able to flourish. Both Emirates and dnata have forged successful business models leveraging Dubai’s unique advantages, in turn generating enormous value for Dubai and the communities they serve around the world.”
The Group collectively invested AED 8.8 billion ($2.4 billion) in 2023-24 in new aircraft, facilities, equipment, companies, and the latest technologies to support its growth plans.
The workforce increased by 10 percent to 112,406 employees as Emirates and dnata continued recruitment activity around the world to support its expanding operations and bolster its future capabilities, the release added.
Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Emirates airline and Group
FY2025 outlook positive
Saeed Al Maktoum says: “We enter our 2024-25 financial year on strong foundations for continued growth. Emirates will receive delivery of 10 new A350 aircraft in 2024-25, adding to our fleet mix and supporting the next phase of its network growth. dnata will continue to leverage synergies and scale across its business divisions to grow its footprint and capabilities. In tandem, we are investing resources to minimise our environmental impact, develop our people, look after our customers and the communities we serve.”
“The business outlook is positive, and we expect customer demand for air transport and travel to remain strong in the coming months. As always, we will keep a close watch on costs and external factors such as oil prices, currency fluctuations, and volatile environments caused by socio-political changes. Our business model has been tested before, and I am confident in our resilience and ability to respond quickly to opportunities and challenges.
"Looking further ahead, the Dubai government has announced plans to start the next phase of expansion at Al Maktoum International Airport, which will eventually be the new hub for Emirates and dnata’s operations. This AED 128 billion ($35 billion) investment will significantly expand and enhance Dubai’s aviation and logistics infrastructure, supporting the city’s growth, and Emirates’ and dnata’s growth."
