Singapore Airlines sees slight cargo growth

Singapore Airlines (SIA) has reported that its overall cargo load factor in May 2014 increased by 0.9 percentage points year-on-year to 62.9 per cent.


Singapore Airlines sees slight cargo growth


Singapore Airlines (SIA) has reported that its overall cargo load factor in May 2014 increased by 0.9 percentage points year-on-year to 62.9 per cent. Cargo traffic (measured in freight-tonne-kilometres) was 0.1 per cent lower compared with capacity reduction of 1.6 per cent. Load factors were higher on all route regions, except for South West Pacific region where cargo traffic was weaker and did not match the increase in capacity, SIA said. Meanwhile the carrier’s systemwide passenger carriage (measured in revenue passenger kilometres) increased 2.5 per cent on the back of two per cent capacity injection (measured in available seat kilometres) for a passenger load factor (PLF) of 74.9 per cent, up 0.3 percentage points.

Meanwhile SIA has acquired 400 million ordinary shares in the capital of its longhaul low cost carrier, Scoot, at a price of SG$400 million (US$318.5 million). In its Singapore Stock Market disclosure, Singapore Airlines said the acquisition, funded via internal sources, will boost Scoot’s capital structure as it proceeds with the acquisition of ten B787-9s and ten B787-8s. Scoot’s first Dreamliner, a B787-9, is due in November this year and will be deployed on flights to Qingdao initially. The new aircraft will also herald the beginning of Scoot’s fleet renewal programme which should see all existing B777-200ERs phased out by the middle of next year. Singapore Airlines Cargo manages the belly cargo of Scoot’s all-widebody fleet.