Dnata continues to increase global business
Dnata continued to strengthen its global businesses which now span 83 countries. In the first half of 2016-17, Dnata's international operations accounted for over 67% of its total revenue.
Dnata’s revenue, including other operating income, is AED 6.0 billion (US$ 1.6 billion), a robust 14% increase compared to AED 5.2 billion (US$ 1.4 billion) last year. This solid performance was underpinned by the consolidation of dnata’s recent acquisitions in its ground handling businesses in Europe and Americas. Overall profit for Dnata was down slightly by 1% to AED 549 million (US$ 150 million), mainly due to the impact of the strong US dollar on currency repatriation from its international businesses, and also due to start-up investment costs in some of its new acquisitions.
Dnata’s airport operations remained the largest contributor to revenue with AED 3.1 billion (US$ 843 million), a 31% increase compared to the same period last year. Across its operations, the number of aircraft handled by dnata increased significantly by 75% to 297,721, and it handled 1.2 million tonnes of cargo, up 28%, reflecting the new businesses acquired, as well as an increase in traffic at Dubai International airport over the same period last year.
Dnata's travel division contributed AED 1.5 billion (US$ 404 million) to revenue, down 13% from the same period last year. The division’s underlying net sales decreased by 14% to AED 5.3 billion (US$ 1.4 billion), illustrating the impact of economic uncertainty and increased price competition in the travel and tourism industry.
Dnata’s flight catering operation, contributed AED 1 billion (US$ 286 million) to its total revenue, up 3%. The number of meals uplifted was at 34.2 million meals for the first half of the financial year, up 5% compared to last year’s figure of 32.7 million.