Images of COVID-19 recovery are evident in their corporate operations
dnata's revenues increase 74% to AED 14.9 billion
dnata increased its profit by 201% to AED 331 million. From the source
Images of recovery from the pandemic were evident in the operations of all dnata companies, with dnata increasing its profit in the 2022-2023 financial year by 201% to AED 331 million (US$ 90 million).
Total Revenue
With the growth of air traffic and travel worldwide, dnata's total revenue increased by 74% to AED 14.9 billion (US$ 4.1 billion).
dnata's global operations accounted for 72% of its total revenue, a growth of 10% over the previous year, while dnata worked closely with its customers throughout the year amid the challenges of labour shortages and high inflation in key markets such as the UK, US, Europe and Australia. dnata continued to lay the foundations for future growth with investments in 2022-2023 amounting to AED 467 million (US$ 127 million).
Cash balances
dnata's cash balances increased by more than AED 200 million to AED 5.1 billion (US$ 1.4 billion). Payments in financing activities, mainly loan and rent payments, amounted to AED 906 million (US$ 247 million), while dnata used AED 528 million (US$ 144 million) for core investment activities.
The business saw positive operating cash flow of AED 1.4 billion (US$ 381 million), reflecting a significant improvement in revenue.
dnata Airport Operations
dnata Airport Operations' revenue, including ground handling and cargo handling, rose to AED 7.2 billion (US$ 2.0 billion).
The number of aircraft handled by dnata worldwide increased by 35% to 712,383.
Catering Operations
The catering contribution increased by 187% to dnata's revenues to AED 4.8 billion (US$ 1.3 billion). Its catering companies carried 111.4 million meals on airline customers' planes, more than three times the number of meals compared to last year.
In the UAE, Alfa Aviation Services, a subsidiary of dnata, has signed a concession agreement under which it will provide in-flight catering services to more than 10 airlines at Ras Al Khaimah International Airport, and operate three food and beverage outlets, in addition to the airport lounge.
«Travel and acting»
dnata Travel Services' revenue increased significantly by 227% to AED 2.3 billion (US$ 618 million). The value of total core transactions for travel services sold increased by 203% to AED 7.0 billion (US$ 1.9 billion).
dnata Representation Services has strengthened Lufthansa's customer service in Europe and expanded its relationship with American Airlines by providing a range of sales and marketing services to the airline, which operates as its general sales agent in India. dnata has also become the Middle East travel partner of choice for American Express Global Business Travel and has strengthened its long-standing partnership with ClubMed to offer exclusive holidays to customers in the GCC.
Global Initiatives
The Emirates Group continued to progress on its sustainability journey during the year. It has signed the UN Global Compact, a voluntary initiative, where Emirates and dnata will work to make the UN's Sustainable Development Goals and Principles part of their strategy, culture and operations.
Among its many environmental initiatives, Emirates' key achievement was the successful operation of a test flight with 100% sustainable aviation fuel (SAF) in a single Boeing 777 engine. This first initiative in the region contributes to the collective industry data and efforts to enable future employment with 100% sustainable fuels.
In 2022-2023, dnata pledged to invest $100 million (AED 367 million) over two years to improve environmental efficiency across its global business and support its goal of reducing carbon emissions from its operations by 50% by 2030. During the year, the Emirates Group supported several community and humanitarian initiatives in its markets, including relief efforts for flood victims in Pakistan and the earthquakes that struck Syria and Turkey. It also continued to participate in innovation incubators, supporting programs that build talent in the aviation industry and develop future solutions for the industry.
It also signed a pledge by the UAE Gender Balance Council to increase women's representation in mid-level management positions to 30 per cent across the country by 2025.
AED 17.2 billion in Emirates SkyCargo revenue
Emirates SkyCargo, the cargo arm of Emirates, has delivered a strong performance, contributing 16 per cent of the airline's revenue, despite reduced available capacity, as aircraft temporarily converted to 'small freighters' during the pandemic have returned to full passenger service.
During the 2022-2023 financial year, Emirates SkyCargo strengthened its leadership in refrigerated transport, thanks to the expertise and advanced infrastructure that made it the preferred carrier for shipping temperature-sensitive medicines during the pandemic and other perishable products.
As demand for air cargo continued to be strong throughout the year, Emirates' cargo arm reported strong revenues of AED 17.2 billion ($4.7 billion), down 21 per cent from the previous year's record rate achieved due to the pandemic.
Total freight volumes transported fell by 14% to 1.8 million tonnes as a result of shrinking freight capacity after pickup trucks were returned to passenger service.
At the end of the 2022-2023 financial year, Emirates SkyCargo operated a fleet of 11 Boeing 777F aircraft.
Premium Economy Class
Seat occupancy was 79.5%, compared to 58.6% in the previous fiscal year. Per passenger return per kilometre increased by 7% to 37.5 fils (10.2 US cents), as a result of improved cabins, route composition, fares and currencies.
Emirates continued to invest in delivering ever better customer experiences. During the year, it launched its full premium economy class, which received very positive feedback from customers, and introduced into service the first six A380 aircraft whose cabin was completely modified and modernized.
Emirates World has also opened a state-of-the-art retailer whose concept will be rolled out to other key markets. It announced a $350 million investment in next-generation inflight entertainment systems for its Airbus A350 fleet.
With continued focus on digital initiatives to deliver fast and safe journeys to customers, Emirates has signed a unique biometric data agreement with the General Directorate of Residency and Foreigners Affairs in Dubai to speed up the journey of passengers on arrival.