SIA Cargo: less tonnage, better yields
The Singapore Airlines (SIA) Group reported a solid operating profit of SGD1,067 million (EUR 695 million) for the 2018/19 financial year amid a challenging market environment. The group's transformation initiatives contributed to a record revenue performance.
Flown revenue grew by SGD 829 million, with cargo flown revenue improving by SGD 45 million (+2.1%), as cargo yield growth (+5.7%) was more than sufficient to offset lower loads carried (-3.5%).
In Q1/2019, the cargo segment, saw a SGD 34 million contraction (-6.6%) in revenue on lower loads (-6.8%), a reflection of the difficult trade conditions. In an outlook statement, the carrier said that "efforts will be made to capture opportunities and mitigate any arising weaknesses in both cargo and passenger segments." (ah)