Chart 1: SIA's operating performance
Singapore Airlines (SIA) probably made the financial equivalent of a nose-dive followed by a near-vertical climb. Two years ago, no thanks to the pandemic, the flag carrier reported a staggering $3.5 billion loss for its 1HFY2021 ended Sept 30, 2020. News of layoffs, pay cuts and fundraisings to stem SIA’s losses also plastered the front pages.
As borders reopen and travel returns in a big way, the picture has changed two Novembers on (see Chart 1). On Nov 4, helped by an 11-fold surge in passenger traffic and higher airfares, SIA reported a strong set of 1HFY2023 earnings, setting five new records along the way. They are: a record half-yearly operating profit of $1.23 billion; record quarterly operating profit of $678 million; record quarterly passenger load factor of 86.6%; record quarterly revenue per available seat km of 10.3 cents; and last but not least, record quarterly group revenue of $4.5 billion.
