Business Round-Up
Singapore Airlines profit surprise
June 1st 2013
The Singapore Airlines (SIA) Group reported a net profit improvement of 12.8%, to S$379 million (US$299.64 million), for the 12 months to March 31, compared with the previous year. Read More »
SIA recorded a lower operating profit, attributing the profit rise to several one-off factors including the sale of aircraft, spares and spare engines and higher net interest income. Operating profit declined by 19.8%, despite increased passenger revenue, “due to persistently high fuel costs and lower yields from weak global economic conditions,” said a group statement.
Last December, the SIA parent airline company sold its 49% holding in Virgin Atlantic Ltd to Delta Air Lines for US$360 million, with the deal expected to be finalized with all the relevant European and U.S. authorities by year end.
In April, SIA increased its holding in Virgin Australia to 19.9% with the purchase of 255,541,946 ordinary shares for S$158.9 million. The company said forward passenger bookings were almost flat compared with the same months in 2012 and yields are likely to remain under pressure amid weak global economic sentiment.
The Singapore Airlines (SIA) Group reported a net profit improvement of 12.8%, to S$379 million (US$299.64 million), for the 12 months to March 31, compared with the previous year.
SIA recorded a lower operating profit, attributing the profit rise to several one-off factors including the sale of aircraft, spares and spare engines and higher net interest income. Operating profit declined by 19.8%, despite increased passenger revenue, “due to persistently high fuel costs and lower yields from weak global economic conditions,” said a group statement.
Last December, the SIA parent airline company sold its 49% holding in Virgin Atlantic Ltd to Delta Air Lines for US$360 million, with the deal expected to be finalized with all the relevant European and U.S. authorities by year end.
In April, SIA increased its holding in Virgin Australia to 19.9% with the purchase of 255,541,946 ordinary shares for S$158.9 million. The company said forward passenger bookings were almost flat compared with the same months in 2012 and yields are likely to remain under pressure amid weak global economic sentiment.
