Emirates posts double digit cargo revenue growth in 2017-18; flies 2.6 mn tonnes
May 10, 2018: Emirates SkyCargo has reported revenue of AED 12.4 billion ($3.4 billion) in 2017-18, an increase of 17 percent over last year, while tonnage carried slightly increased by 2 percent to reach 2.6 million tonnes.
In its recent announcement declaring year 2017-18 results, the Dubai-headquartered airline mentioned that its cargo division has recorded a strong performance in a resurgent market, and continues to play an integral role in the company’s expanding operations, contributing 14 percent of the airline’s total transport revenue.
This year, freight yield per Freight Tonne Kilometre (FTKM) increased by 14 percent, reflecting a very positive market environment for the industry, and the weakening of the USD against major currencies.
Emirates’ SkyCargo’s total freighter fleet stood at 13 Boeing 777Fs. In addition to belly-hold capacity to Emirates’ new passenger destinations, Emirates SkyCargo launched new freighter services to Maastricht (Netherlands), Luxembourg, and Aguadilla (Puerto Rico).
The airline inked an MoU with Dubai CommerCity, in November, to develop new solutions for the e-commerce sector using Dubai as a hub.
The company’s sister company - dnata, ground handler, also witnessed its most profitable year, crossing AED 1.3 billion ($359 million) profit for the first time. Building on its strong results in the previous year, dnata's revenue grew to AED 13.1 billion ($3.6 billion), up 7 percent.
In 2017-18, dnata’s operating costs increased accordingly by 8 percent to AED 11.9 billion ($3.2 billion), reflecting the impact of organic growth across all lines of business coupled with integrating the newly acquired companies mainly across its international airport operations.
Revenue from dnata’s UAE Airport Operations, including ground and cargo handling increased by 4 percent to reach AED 3.2 billion ($859 million). The number of aircraft movements handled by dnata in the UAE declined by 2 percent to 211,000 impacted by the geopolitical situation in the region, whereas cargo handling increased by 2 percent to 731,000 tonnes, supported by the strong overall air cargo market.
In addition to the steady delivery of initiatives started in 2014 to optimise its operations, covering facility improvements, process changes, infrastructure upgrades and IT development, dnata also successfully tested the use of blockchain technology to further streamline and simplify its cargo delivery processes from origin to final destination.