Singapore Airlines posted a nearly 69 per cent slide in third-quarter net profit on Tuesday (Feb 24), due to the absence of last year's one-off gain from the Air India-Vistara merger and rising fuel costs.
The airline's share of losses from associated companies climbed by S$163 million (US$128 million) to S$178 million, reflecting a full-quarter share of Air India's losses this year, compared with only one month in the year-ago period.
Vistara Airlines, in which Singapore Airlines had a 49 per cent stake, completed a merger with Air India in 2024 to establish a dominant full-service carrier for India's growing domestic and international markets.
Additionally, record global travel demand kept older aircraft in service, pushing up fuel, maintenance, engine-leasing and inventory costs.
The airline's expenditure rose to S$4.71 billion compared with S$4.59 billion, driven by higher non‑fuel costs and an increase in net fuel cost due to firmer prices and uplift volumes in the period.
Singapore's flag carrier posted a net profit of S$505 million for the three-month period ended Dec 31, compared with S$1.63 billion a year ago.
Total revenue for the quarter, however, rose 5.5 per cent to S$5.51 billion from the same period last year.
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The airline's share of losses from associated companies climbed by S$163 million (US$128 million) to S$178 million, reflecting a full-quarter share of Air India's losses this year, compared with only one month in the year-ago period.
Vistara Airlines, in which Singapore Airlines had a 49 per cent stake, completed a merger with Air India in 2024 to establish a dominant full-service carrier for India's growing domestic and international markets.
Additionally, record global travel demand kept older aircraft in service, pushing up fuel, maintenance, engine-leasing and inventory costs.
The airline's expenditure rose to S$4.71 billion compared with S$4.59 billion, driven by higher non‑fuel costs and an increase in net fuel cost due to firmer prices and uplift volumes in the period.
Singapore's flag carrier posted a net profit of S$505 million for the three-month period ended Dec 31, compared with S$1.63 billion a year ago.
Total revenue for the quarter, however, rose 5.5 per cent to S$5.51 billion from the same period last year.
Continue reading...