SINGAPORE: First quarterly loss in six years for SIA

Singapore Airlines has posted its fi rst quarterly loss since 2003, with a S$307.1 million (US$212.6 million) loss that compared to a S$358.6 million profit in the fiscal first quarter of 2008-09. The global economic downturn, swine flu and unfavorable fuel hedges dragged the carrier into the red. Group revenue during the quarter ended 30 […]


Air & Cargo Services air cargo Air Cargo Asia air cargo freight Air Forwarding air freight Air Freight Asia Air Freight Logistics air freighter air freighting Air Logistics Asia Air Shipping Asia airlines cargo airways cargo asia cargo news cargo aviation economic downturn fuel hedges operating loss SIA Engineering SilkAir Singapore Airlines swine flu


Singapore Airlines has posted its fi rst quarterly loss since 2003, with a S$307.1 million (US$212.6 million) loss that compared to a S$358.6 million profit in the fiscal first quarter of 2008-09. The global economic downturn, swine flu and unfavorable fuel hedges dragged the carrier into the red.

Group revenue during the quarter ended 30 June dropped 30.5 per cent to S$2.87 billion while expenses were reduced 15.8 per cent to S$3.19 billion. A S$287 million loss on fuel hedges partially off set the S$1.14 billion it saved on fuel prices compared to last year. Operating loss of S$319.3 million represented a reversal from the S$343.2 million earned in the year-ago quarter.

The passenger airline segment suff ered a S$271 million operating loss in the quarter, compared to a S$265 million profit last year. SIA Cargo lost S$104 million compared to a S$5 million profit a year earlier, SIA Engineering made S$12 million, down down 25 per cent year-on-year and its regional carrier SilkAir lost S$3 million compared to a S$10 million profit in the same quarter a year earlier.

SIA said it has initiated measures that will result in S$60 million in employee cost savings in the fiscal year ending 31 March 2010. The company said that if the “adverse business conditions” currently facing airlines continue, it will report a full-year loss.

SIA took delivery of two A380- 800s and four A330-300s while decommissioning three B747-400s. It operated 107 passenger aircraft as of 30 June and has cut capacity by 13.7 per cent so far this year.



Leave a Reply

Your email address will not be published. Required fields are marked *