Zooming along

18 May 2018 By Clara Ferreira Marques

The $10 bln flag carrier beat forecasts with a 148 pct jump in annual earnings. Its overhaul is working, and a plan to absorb regional arm SilkAir looks sensible. There is more to do, but the group can afford to take its time evaluating growth options, including India.

This content is for Subscribers only

Context News

Singapore Airlines reported a 148 percent increase in net profit for the financial year to the end of March, lifted by higher revenue from passengers and cargo. The full year profit of S$893 million ($665 million) beat an average market forecast of S$697 million, and marked the highest profit level since 2011.

In the fourth quarter, net profit rose to S$182 million, against a S$138 million loss a year ago.

Singapore Airlines said separately on May 18 that fully owned subsidiary SilkAir would see a S$100 million upgrade to cabins, as it moves to merge this regional airline into the main carrier.

The city-state’s flag carrier said yields, or the average fare a carrier earns from carrying a passenger for a kilometre, had stabilised, and bookings for the coming months had picked up. But it also said there had been little let-up in cost pressures and competition in key markets. The group said the outlook for demand for cargo was “moderately positive” but subject to uncertainties around global trade.

Subjects

Regions

Context News

In the fourth quarter, net profit rose to S$182 million, against a S$138 million loss a year ago.

Singapore Airlines said separately on May 18 that fully owned subsidiary SilkAir would see a S$100 million upgrade to cabins, as it moves to merge this regional airline into the main carrier.

Email a friend

Please complete the form below.

Required fields *