SIA Cargo narrows full-year deficit

The Singapore Airlines Group released its full-year 2014 financial results for the year ending 31 March 2015, earning an operating profit of SGP$410 million (US$308 million), up 58.3 per cent from a year earlier.


SIA Cargo narrows full-year deficit


The Singapore Airlines Group released its full-year 2014 financial results for the year ending 31 March 2015, earning an operating profit of SGP$410 million (US$308 million), up 58.3 per cent from a year earlier. The improved operating result was eroded by weaker share of results from joint venture and associated companies (-$126 million), and an absence of tax credits (-$93 million), partly offset by a net exceptional gain compared to a net exceptional loss last year (+$73 million). Accordingly, Group net profit increased by a modest $9 million (+2.5 per cent) from the last financial year to $368 million.

Group revenue dropped marginally (-0.2 per cent) to $15.2 billion. Passenger revenue was up 0.9 per cent, while cargo revenue fell 0.9 per cent year-on-year, notwithstanding a higher load factor (+0.8 per cent points) and yield (+0.3 per cent), largely due to a 2.4 per cent reduction in capacity.

SIA Cargo narrowed its full-year deficit by $78 million, benefitting from a moderate recovery in air cargo demand and diligent capacity management, the company said. Cargo load factor improved 0.8 percentage points, with yield remaining largely flat and unit cost declining 2.3 per cent year-onyear.

SIA Cargo’s freight carriage (in load tonne-kilometres) fell 1.1 per cent, against a 2.4 per cent reduction in capacity (in capacity tonne-kilometres). Load factor was therefore up 0.8 percentage points to 63.3 per cent.