Emirates SkyCargo Revenue Jumps 52% Despite Gulf Conflict Chaos

Emirates SkyCargo grew its revenue by 52 percent in the first half of the 2026-27 financial year, hauling 1.2 million tonnes of freight even as Gulf airspace closures and jet fuel prices that doubled year-on-year squeezed the wider group's profitability.

The cargo division was the standout performer in results published today by Emirates Group, which posted a profit before tax of US$1.1 billion (AED 4.1 billion) — down 66 percent on last year — on revenue that fell 12 percent. As the Group put it: "revenue was buoyed by strong cargo performance; profits eroded by high fuel prices."

Volumes barely moved. Tonnage slipped just 1 percent against the same period a year earlier. The revenue surge came from price, not weight.

What drove the rate spike?

Two forces worked in SkyCargo's favour at the same time. The regional conflict in the Gulf removed available airfreight capacity from the market, tightening supply. Meanwhile, disruption to marine transport pushed shippers toward airfreight options they might otherwise have avoided. Less capacity, more demand — cargo yields climbed.

The Group called the result "a remarkable performance against the disruption and high fuel prices caused by the ongoing conflict in the Gulf region."

The operational backdrop was genuinely difficult. Intermittent airspace restrictions and closures across the region tested airline agility throughout the six months, forcing routing changes and schedule juggling.

Where the capacity went

SkyCargo did not sit still while conditions shifted. In the first half of 2026-27, it added capacity from five new Boeing 777 freighters and deployed its first passenger-to-freighter converted aircraft — a combination that softened the capacity squeeze the conflict created elsewhere in its network.

The freighter network grew too:

• Two new destinations added: Almaty and Zhengzhou
• Dedicated freighter services introduced to more than 15 existing Emirates destinations
• Increased frequencies to several key markets, including in the Far East

For forwarders and shippers, that expansion matters. More freighter reach into Central Asia and China, plus denser Far East frequencies, opens routing options at a moment when capacity elsewhere is scarce and rates are firm.

The group picture

dnata, the Group's air services arm, recorded a US$112 million profit, down a comparatively modest 51 percent on 2025.

Emirates Group Chairman and Chief Executive, HH Sheikh Ahmed bin Saeed Al Maktoum, credited the UAE government for the recovery in air transport activity. "It has been a demanding six months, and once again our business model and our people stood up to the test," he said. "Customer demand held firm and our cargo operations made a strong contribution, keeping revenue and cash levels healthy even as global jet fuel prices doubled against the same period last year, impacting our costs and profitability."

He added: "The government's measures have also led to the easing of travel advisories to and through the UAE. This has allowed us to restore our operations with confidence and to keep serving our customers and communities."

Investment continues

The chairman stressed that the spending taps stayed open. "Throughout this time, we have not paused our investments," he said. "Emirates and dnata continue to commit significant resources to expand our fleet, enhance our products and services, and develop capabilities that will shape the future of our business."

That commitment has a concrete anchor. In May, Emirates broke ground on a US$5.1 billion engineering and Maintenance, Repair, and Overhaul (MRO) facility at Al Maktoum International Airport, with completion expected in the mid-2030s — long-haul infrastructure aimed at future fleet requirements.

Off the airfield, Emirates extended its sponsorship deals with Arsenal Football Club until 2033 and Real Madrid until 2031, multi-year investments in global brand visibility.

What does the second half hold?

Sheikh Ahmed described entering the second half of 2026-27 with "measured optimism," watching costs and geopolitical developments closely while relying on a strong cash position to absorb volatility. With five new 777 freighters now in service and conflict-driven capacity tightness still supporting yields, SkyCargo starts the next six months with momentum — but its trajectory hinges on whether Gulf airspace stays open and fuel prices retreat from their doubled levels.