Antofagasta Shares Drop 5% as Miner Cuts 2026 Copper Production Forecast 
Australia’s Corporate Leaders Face Parliament Over KPMG Client Data Scandal 
Google Pushes Gemini AI Overhaul as Sergey Brin Targets Model Supremacy 
Bill Ackman’s Pershing Square Returns to Netflix With Major New Stake 
LG, Nvidia Expand AI Partnership With Humanoid Robots, AI Factories 
Anthropic Eyes $6B Decart AI Acquisition Ahead of Mega IPO 
Bernstein Picks BYD and Xiaomi as Top China EV Stocks Despite Weaker Demand 
Ford to Move Some Lincoln Production From China to U.S. in 2030 
Paramount Skydance Clears Regulatory Hurdles for Warner Bros. Discovery Deal 
Micron Stock Upgraded to Buy as New Street Sees $2 Trillion Valuation Potential 
Goldman Sachs Eyes Investors for Nvidia’s $500 Billion AI Financing Plan 
Paramount Weighs CNN Sale as $110B Warner Bros. Discovery Deal Faces Antitrust Fight 
Sanrio Shares Plunge as Q1 Profit Miss Overshadows Strong Sales 
SMIC Shares Rally as Q2 Profit Surges 262% on Strong Chip Demand 
Pandora Shares Rise as Q2 Results Beat Forecasts, 2026 Outlook Raised 
Aviva First-Half Operating Profit Jumps 24% as Direct Line Deal Boosts Growth 
Add as a preferred source on Google
The head of Dubai's Emirates, Tim Clark, has called on Rolls-Royce to prioritize the performance of its engines and return to basics. This comes shortly after the British firm revealed plans to quadruple profits, causing shares in the company to rise.
However, according to Reuters, Clark remains unimpressed by the strategy, which relies on significantly increasing civil engine profit margins to 15-17%.
Pricing and Performance Challenges at Dubai Airshow
Share Investor reported that during the Dubai Airshow, Clark criticized Rolls-Royce over pricing and the performance of its largest engine. He emphasized the importance of engines meeting the expectations of clients, as non-performance leads to increased costs and a decrease in the ability to extract value from clients. Clark's comments highlight the challenges faced by engine makers due to service contracts per flight hour.
Durability Concerns Impacting Airbus A350-1000 Deal
At the air show, Clark ruled out an immediate deal to purchase Airbus A350-1000 jets due to durability concerns with Rolls-Royce engines. Disputes over engine performance and higher servicing prices contributed to this decision. However, Clark mentioned that the door remains open to reviving the Boeing 777-8 as both a passenger variant and a freighter.
Rolls-Royce acknowledged that the downtime on the XWB-97 engine used in the A350-1000 is greater than expected. However, they denied Clark's claims that the performance level was "defective." Rolls-Royce aims to improve the durability of its engines in challenging climates and is working closely with Airbus to achieve this.
Balancing Fuel Efficiency and Engine Durability
The dispute between Emirates and Rolls-Royce emphasizes the balance between fuel efficiency and engine durability. This trade-off often occurs during the design phase, especially in hot climates. Rolls-Royce plans to introduce modifications inherited from its Ultrafan engine technology research in late 2025 or 2026 to address durability concerns.
Although Clark ruled out an immediate deal, he stated that ordering the A350-1000 is "not off the table" and depends on progress regarding downtime. If Rolls-Royce successfully improves the engine and resolves durability issues, Emirates may reconsider its decision.
Photo: Emirates Media Centre
