Emirates Post First Annual Loss In More Than Three Decades

The Emirates Group has posted its first annual loss in more than 30 years. The carrier lost $6 billion for the financial year ending May 31 and fully blames the impact of Covid-19 and travel restrictions.

Ahmed bin Saeed Al Maktoum, chief executive of Emirates Airline and Group, said, “The Covid-19 pandemic continues to take a tremendous toll on human lives, communities, economies and on the aviation and travel industry. In 2020-21, Emirates were hit hard by the drop in demand for international air travel as countries closed their borders and imposed stringent travel restrictions.

“No one knows when the pandemic will be over, but we know recovery will be patchy. Economies and companies that entered pandemic times in a strong position, will be better placed to bounce back.”

Redundancies are now looming across all parts of the Dubai-based airline and business group.

Total passenger and cargo capacity declined by 58 per cent over the past year and Emirates carried just 6.6 million passengers last year, a decline of nearly 90 percent from the previous year underscoring how hard hit the trave industry has been hit by the Covid pandemic.

The airline was forced to ground all passenger flights for nearly eight weeks starting in March 2020 amid a temporary closure of airports in the United Arab Emirates, including transit flights through Dubai — the hub for Emirates and the world’s busiest airport for international travel.

Emirates is known for its long-haul flights and luxurious first class cabins. In 2020 the company made $456 million in profits.

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