- SIA’s 3QFY25 revenue grew 2.7% y-o-y to a record S$5.2b. Passenger flown revenue grew 1.7% y-o-y to a record 10.2m passengers flown, notwithstanding a 1 percentage point (ppt) y-o-y dip (+1.7ppt q-o-q) in passenger load factor (PLF) to 87.2%, as an 8.6% increase in passenger capacity outpaced a 7.2% growth in passenger traffic.
A solid beat with improved operating results across all 3 main businesses
- - Read this at SGinvestors.io -
- Encouragingly, total expenditure grew at a slightly slower 2.6% y-o-y to S$4.6b. Net fuel costs slid 9.8% y-o-y mainly on lower fuel prices, while non-fuel expenditure increased 8.6% y-o-y to S$258m.
- Altogether, SIA's operating profit came in 3.3% higher y-o-y at S$629m, reversing the consecutive q-o-q decline since 2QFY24.
Net profit boosted by a one-off non-cash accounting gain on completion of Air India-Vistara merger.
- - Read this at SGinvestors.io -
- On a 9MFY25 basis, total revenue grew 3.3% y-o-y to S$14.7b, but this was outpaced by total expenditure, which grew 10% y-o-y to S$13.3b. During the period, net fuel costs increased 8.2% y-o-y on lower fuel hedging gains and higher fuel costs. As a result, operating profit was down 34.1% y-o-y at S$1.4b. Together with the exceptional gain, however, net profit was 12.8% higher y-o-y at S$268m.
Demand for passenger and cargo expected to remain healthy though yields are likely to continue to decline.
- Read more at SGinvestors.io.
Above is the excerpt from report by OCBC Investment Research.
Clients of OCBC Securities may be the first to access the full report in PDF @ https://www.iocbc.com/.
Ada Lim OCBC Investment Research | https://www.iocbc.com/ 2025-02-24
Previous report by OCBC:
2024-11-11 Singapore Airlines - Moderating Trajectory.
Price targets by 3 other brokers at SIA Target Prices.
Listing of research reports at SIA Analyst Reports.
Relevant links:
SIA Share Price History,
SIA Announcements,
SIA Dividend Payout Dates & Corporate Actions,
SIA News
