Singapore Airlines posts 4.9% rise in Q3 earnings to $659m

Gain comes on back of robust passenger demand as China, Hong Kong, Japan and Taiwan reopened

Mainboard-listed Singapore Airlines (SIA) on Feb 20 recorded a net profit of $659 million for the third quarter ended Dec 31, rising 4.9 per cent from $628 million in the corresponding period a year ago.

This was driven by robust passenger demand, led by a rebound in North Asian markets as China, Hong Kong, Japan and Taiwan reopened, said the group in its quarterly business update.

The rise in net profit was also aided by a lower tax expense, a share of profits from associated companies, surplus on disposal of aircraft, spares and spare engines, and higher net interest income.

The net profit figure translates to an earnings per share of 16 cents in the third quarter of financial year 2024, up from 10.3 cents year on year.

Revenue for the quarter also increased by 4.9 per cent to $5.1 billion from $4.8 billion year on year. This surpassed the $5 billion mark in quarterly revenue for the first time in SIA's history, the group said in the filing.

The revenue gain was due to high passenger demand, as passenger flown revenue climbed 10.6 percent to $4.2 billion, despite a 7.4 per cent drop in passenger yields to 11.2 cents per passenger-km.

The group's operating profit, however, decreased 19.3 per cent to $609 million, from $755 million in the third quarter of financial year 2023.