Business Round-Up
SIA Group profit declines 71%
September 1st 2014
Global carrier, Singapore Airlines (SIA), said net profit for the parent company declined by 71.4% to S$35 million (US$28 million) for the three months to June 30, compared with the same months last year. Read More » Singapore Airlines reported a 49.4% decline in operating profit for the three months, to S$45 million, over the previous 12 months. Analysts generally attributed SIA’s fall in profitability to the rapid rise of the Gulf carriers, particularly their presence in traditionally strong markets for SIA – Asia-Europe and Asia-Australia. SIA said the decline in revenue “was due to weaker yields amid intense competition and unforeseen events that depressed the travel demand in some key Asian markets”. SIA’s passenger load factor eased by 0.3 points, to 77.7%, for the quarter.
