Over the first six months of it's fiscal year, Emirates Airline profits are down to a whopping 86% over the same period in 2017. According to Reuters, this is the carrier's worst such period in a decade.
Emirates reported $62 million in profits on $13.3 billion in revenue, during the six-month period ending on September 30. Even though revenue grew by 10%, the airline's profits were severely impacted by a 42% increase in fuel costs.
As a result, Emirates's profit margins for the period is down from 3.7% to just 0.5% while cash assets are down 17% to $4.6 billion.
The airline's parent company, Emirates Group, saw profits fall 53% to $296 million on $14.8 billion in revenue.
High fuel costs, as well as currency devaluations in India, Brazil, Angola, and Iran, wiped out roughly $1.25 billion in profits, according to Emirates Group chairman and CEO Sheikh Ahmed bin Saeed Al Maktoum.
"We are proactively managing the myriad challenges faced by the airline and travel industry, including the relentless downward pressure on yields, and uncertain economic and political realities in our region and in other parts of the world," Sheikh Ahmed said in a statement. "We are keeping a tight rein on controllable costs and will continue to drive efficiency improvement through the implementation of new technology and business processes."
"The next six months will be tough, but the Emirates Group's foundations remain strong," he added.
Since March, the Emirates Group has trimmed its employee base by nearly 1,400 people.