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SIA 2010 Profit Leaps - USD $885mil  
User currently offlineLAXintl From United States of America, joined May 2000, 25071 posts, RR: 46
Posted (3 years 3 months 1 week 5 days 19 hours ago) and read 5630 times:

Strong earnings turn around for Singapore Airlines.

Carrier saw its net profit for its fiscal year 2010 exceeding S$1.06 billion (USD $885mil) up from S$215.8 million year prior.

Kudos to SIA   

Full story
http://atwonline.com/airline-finance...n-0512?cid=nl_atw_dn&YM_RID=#email


From the desert to the sea, to all of Southern California
32 replies: All unread, showing first 25:
 
User currently offlineNimish From India, joined Feb 2005, 3219 posts, RR: 9
Reply 1, posted (3 years 3 months 1 week 5 days 16 hours ago) and read 5455 times:

First EK and then SQ - congratulations! No surprise that airlines with the most customer comfort focus are coming out with great resultsl!!!


Latest Trip Report - GoAir BLR-BOM-BLR
User currently offlineflyingAY From Finland, joined Jun 2007, 700 posts, RR: 0
Reply 2, posted (3 years 3 months 1 week 5 days 16 hours ago) and read 5428 times:

Quoting Nimish (Reply 1):
First EK and then SQ - congratulations! No surprise that airlines with the most customer comfort focus are coming out with great resultsl!!!

Both are also major A380 operators.   


User currently offlinePanAm_DC10 From Australia, joined Aug 2000, 4138 posts, RR: 90
Reply 3, posted (3 years 3 months 1 week 5 days 15 hours ago) and read 5332 times:
AIRLINERS.NET CREW
COMMUNITY MANAGER

Quoting LAXintl (Thread starter):
Strong earnings turn around for Singapore Airlines.

So strong that they have declared special and final dividends on S$1.20 per share. That's approximately US$ .97 per share, there are many shareholders in different carriers that would like to see a dividend let alone almost $1 per share.

Also noted in their report is they expect to take delivery of 8 A380s while retiring 5 777s and their remaining 7 B744s. After JAL it will be unfortunate to see another major retire the 744. Can anyone confirm which 777s are to be retired and are they destined for Transaero or other carriers?

Regards

Paul



Ask the impossible to achieve the best possible
User currently offlineUnited Airline From Hong Kong, joined Jan 2001, 9168 posts, RR: 15
Reply 4, posted (3 years 3 months 1 week 5 days 14 hours ago) and read 5216 times:

They were always no 1 before. What happened to them? Seems that CX is doing a lot better recently.

Is CX the most profitable airline in the world?


User currently offlineChiad From Norway, joined May 2006, 1146 posts, RR: 0
Reply 5, posted (3 years 3 months 1 week 5 days 13 hours ago) and read 5192 times:

Quoting United Airline (Reply 4):
They were always no 1 before. What happened to them? Seems that CX is doing a lot better recently.

Is CX the most profitable airline in the world?

EK happened to them!
 

Anyways ... $885 is a fantastic result.


User currently offlinecol From Malaysia, joined Nov 2003, 2106 posts, RR: 22
Reply 6, posted (3 years 3 months 1 week 5 days 12 hours ago) and read 5076 times:

Quoting United Airline (Reply 4):
They were always no 1 before. What happened to them? Seems that CX is doing a lot better recently.

Not bad for a tiny Island State of 5.2m people. HKG is so much bigger, so CX should make more money.. 

It will be strange to go through SIN and not see the MegaTops. They need to order more 380's soon, how many options do they have?


User currently offlinegkirk From UK - Scotland, joined Jun 2000, 24926 posts, RR: 56
Reply 7, posted (3 years 3 months 1 week 5 days 11 hours ago) and read 5003 times:

Quoting Chiad (Reply 5):
Anyways ... $885 is a fantastic result.

Maybe so, but $885 million is an even better result  



When you hear the noise of the Tartan Army Boys, we'll be coming down the road!
User currently offlineflythere From Hong Kong, joined May 2010, 441 posts, RR: 0
Reply 8, posted (3 years 3 months 1 week 5 days 11 hours ago) and read 4920 times:

World's Most Profitable Airlines in 2010 so far.

1. Air China (USD1.83B - RMB12B thanks to appreciating RMB)
2. Cathay Pacific (USD1.8B - HKD14B)
3. Emirates (USD1.6B - AED5.93B)


User currently offlineflythere From Hong Kong, joined May 2010, 441 posts, RR: 0
Reply 9, posted (3 years 3 months 1 week 5 days 10 hours ago) and read 4895 times:

Quoting Nimish (Reply 1):
First EK and then SQ - congratulations! No surprise that airlines with the most customer comfort focus are coming out with great resultsl!!!

Also add Air China (CA) and Cathay Pacific (CX) to the list.

Quoting flyingAY (Reply 2):
Both are also major A380 operators.

Non A380 operators are doing well, if not better  
Quoting PanAm_DC10 (Reply 3):

Also noted in their report is they expect to take delivery of 8 A380s while retiring 5 777s and their remaining 7 B744s. After JAL it will be unfortunate to see another major retire the 744.

Yea, it is really sad that 747 is stepping down in the pax traffic with future most ended up in freight service~

Quoting United Airline (Reply 4):
Seems that CX is doing a lot better recently.

Is CX the most profitable airline in the world?

No. It's only second after Air China, which has 30% stake in Cathay. Cathay, with cross-share-holding, holds around 20% of Air China.

Quoting col (Reply 6):
Not bad for a tiny Island State of 5.2m people. HKG is so much bigger

We have a population of 7m so it is just similar, cannot say MUCH bigger~  Wink

[Edited 2011-05-13 03:05:36]

User currently offlineUnited Airline From Hong Kong, joined Jan 2001, 9168 posts, RR: 15
Reply 10, posted (3 years 3 months 1 week 5 days 10 hours ago) and read 4837 times:

Quoting col (Reply 6):
It will be strange to go through SIN and not see the MegaTops. They need to order more 380's soon, how many options do they have?

6 more left. I believe they will order more in addition to exercising the options

Quoting flythere (Reply 8):
1. Air China (USD1.83B - RMB12B thanks to appreciating RMB)
2. Cathay Pacific (USD1.8B - HKD14B)
3. Emirates (USD1.6B - AED5.93B)

Why is Air China doing better than Cathay Pacific?

And why isn't Singapore Airlines no 1 anymore?


User currently offlinechangyou From Singapore, joined Nov 2003, 269 posts, RR: 0
Reply 11, posted (3 years 3 months 1 week 5 days 9 hours ago) and read 4740 times:
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probably competition creeping up into SQ's profit...with so many budget carriers flying around this region.

User currently offlinechangyou From Singapore, joined Nov 2003, 269 posts, RR: 0
Reply 12, posted (3 years 3 months 1 week 5 days 8 hours ago) and read 4719 times:
Support Airliners.net - become a First Class Member!

of course if its not for the cargo fines they wld have made bit higher...but still a good achievement...SQ's profit has been very consistent throughout and thats what matters i guess.

User currently offlineRichard28 From United Kingdom, joined Aug 2003, 1616 posts, RR: 6
Reply 13, posted (3 years 3 months 1 week 5 days 8 hours ago) and read 4693 times:

Quoting flyingAY (Reply 2):
Both are also major A380 operators.

and 77W operators too... would seem a very profitable combination!


User currently offlineChiad From Norway, joined May 2006, 1146 posts, RR: 0
Reply 14, posted (3 years 3 months 1 week 5 days 8 hours ago) and read 4663 times:

Quoting gkirk (Reply 7):
Maybe so, but $885 million is an even better result

  
How could I?


User currently offlineflythere From Hong Kong, joined May 2010, 441 posts, RR: 0
Reply 15, posted (3 years 3 months 1 week 5 days 7 hours ago) and read 4586 times:

Quoting United Airline (Reply 10):

Why is Air China doing better than Cathay Pacific?

And why isn't Singapore Airlines no 1 anymore?

Dont always ask why. Go google and read the news yourselves.

Quoting changyou (Reply 11):
probably competition creeping up into SQ's profit...with so many budget carriers flying around this region.

yea agree that budget carriers is one of the major reasons for the stagnant growth of SQ recently

[Edited 2011-05-13 06:15:38]

User currently offlineManekS From Singapore, joined Oct 2008, 241 posts, RR: 0
Reply 16, posted (3 years 3 months 1 week 5 days 7 hours ago) and read 4545 times:

This is an excellent number but I will want to take a look at the Q1 numbers before I make a judgement. Their intercontinental load factors have taken a beating. I understand they consider themselves a premium carrier, and rightly so. But I doubt they continue to use that as an 'excuse' to rip people off anymore.

User currently offlineKhaleej777 From United Kingdom, joined Jun 2007, 90 posts, RR: 0
Reply 17, posted (3 years 3 months 1 week 5 days 7 hours ago) and read 4505 times:

This is what happens when a non-Western airline from a corrupt, human rights abusing little country supplies their airline with free fuel, subsidises their fleet expenditure, allows their airline to dump capacity where it's not needed, pays no tax and abuses their work force. They become an overbearing menace to high quality airlines of the sort of pedigree of Air Canada and Lufthansa. Of course quality of management and quality of product have nothing to do with it.

Oh wait, sorry, I meant to post this in the Emirates profits thread.

   


User currently offlinehuaiwei From Singapore, joined Oct 2008, 1113 posts, RR: 2
Reply 18, posted (3 years 3 months 1 week 5 days 5 hours ago) and read 4378 times:

Quoting United Airline (Reply 10):

And why isn't Singapore Airlines no 1 anymore?

Is is important to remain no 1. in profitability when it is next to impossible for any one airline to hold that (inconsequential) title for long? What is important for an airline is to remain consistently in the black even in the worse days, and to still chalk up healthy profits in good says. Has SQ wavered from that ideal for it to bother you so much?

Quoting flythere (Reply 15):
yea agree that budget carriers is one of the major reasons for the stagnant growth of SQ recently

Actually, not quite true. LCCs has been around for years in SIN now, and if they have an impact, the impact would have been felt much sooner, the first casualty being regional carrier MI. Yet MI actually saw an increase of profit from S$49 million to S$121 million!

Reasons cited so far for the lower-than-expected annual results (this article may not indicate this, but Q4 results were way below expectations):
- 24% increase in fuel costs for the airline, and which rose 34% in Q4 causing a slump in profit from S$278 in the previous year's Q4 to S$171 million this year.
- A one-time S$202 million fine on the airline due to anti-trust lawsuits involving SIA Cargo.

Look in more detail, and you will see:
- Revenues increased 14% to S$14.53 billion
- Operating profit rose to S$851 million, from an operating loss of $39 million last year
- Cash-in-hand up from S$4.47 billion to S$7.43 billion.

Quite healthy figures, I would say, although the airline expects more turbulence ahead, which has nothing to do with LCCs or Emirates. Rather, they fear rising fuel prices, and the softening or potential decrease in demand in Japan, the US and Europe due to global economic uncertainties and natural calamities.



It's huaiwei...not huawei. I have nothing to do with the PRC! :)
User currently offlineflythere From Hong Kong, joined May 2010, 441 posts, RR: 0
Reply 19, posted (3 years 3 months 1 week 5 days 4 hours ago) and read 4212 times:

Quoting huaiwei (Reply 18):
Actually, not quite true. LCCs has been around for years in SIN now, and if they have an impact, the impact would have been felt much sooner, the first casualty being regional carrier MI.
Quoting huaiwei (Reply 18):
- Revenues increased 14% to S$14.53 billion

Emirates has been around for 25 years. But only until recent years was it being treated by EU carriers as a major threat. Same in SIN, without doubt LCCs have been around for several years, but doesnt mean that the impact on traditional carriers is the same throughout. The point is they are no longer the LCCs in their early set up. 3K and TR have grown much more in size and traffic. Together with other new comers like firefly, JQ etc., what SQ experiences today is totally different from the old days, say 3 years ago.

The revenue increased is simply because of the recovery from financial tsunami with average fares going up not from SQ's traffic, esp. in Y where pax are more price sensitive.


User currently offlinehuaiwei From Singapore, joined Oct 2008, 1113 posts, RR: 2
Reply 20, posted (3 years 3 months 1 week 5 days 4 hours ago) and read 4087 times:

Quoting flythere (Reply 19):
Emirates has been around for 25 years. But only until recent years was it being treated by EU carriers as a major threat. Same in SIN, without doubt LCCs have been around for several years, but doesnt mean that the impact on traditional carriers is the same throughout. The point is they are no longer the LCCs in their early set up. 3K and TR have grown much more in size and traffic. Together with other new comers like firefly, JQ etc., what SQ experiences today is totally different from the old days, say 3 years ago.

If LCCs were indeed the primary impact on SQ's financial fortunes, most respected independent publications, the mass media and even the airline itself would have noted or acknowledged that by now, and not wait for some a.netter to point this out.

Check through SQ and MI's fiscal figures through the years since the LCCs appeared, and see for yourself. While you may attribute last year's rise due to the low base in the year before, do note that MI's fortunes, in particular, has been well sustained in the past years, and in fact, it has been doing better since the LCCs appeared, an unusual trend long noticed in the media.

And SQ isn't exactly that dumb to just sit around with no response. It helped establish TR for a reason, and it buffered itself from the impending rise in regional competition from regional LCCs by shifting most of its regional operations to MI, leaving itself to run only on key regional routes to capital cities and only the most important destinations in Southeast Asia. In turn, they invested heavily in MI to compete with the LCCs, which explained MI's sudden and unexpected rise for the past few years.

Unless you can provide compelling statistics to prove otherwise, your statements remain what they are: an unsubstantiated opinion based on general guesses.



It's huaiwei...not huawei. I have nothing to do with the PRC! :)
User currently offlineflythere From Hong Kong, joined May 2010, 441 posts, RR: 0
Reply 21, posted (3 years 3 months 1 week 5 days 3 hours ago) and read 3921 times:

Quoting huaiwei (Reply 20):
Unless you can provide compelling statistics to prove otherwise, your statements remain what they are: an unsubstantiated opinion based on general guesses.

Ok you always want statistics, here it comes.

Singapore Arrival Tourist Change (YoY)
2008 10,116,054 -1.6%
2009 9,682,690 -4.3%
2010 11,638,663 20.2%

Singapore Airlines Passenger Carried (in thousands) Change (YoY)
2008 18293 -4.3%
2009 16480 -9.9%
2010 16647 +1.0%

I dun reckon most additional tourist arrive in Singapore via JB, Malaysia or by cruise instead of flight. Nor I dun reckon any particular full-service airlines add significant frequency into SIN. What I can see is that Changi is now growing as a low-cost aviation centre with rise of 3K and TR, plus other regional likes AK,FY,JQ.

These data speak for themselves.   


User currently offlinecol From Malaysia, joined Nov 2003, 2106 posts, RR: 22
Reply 22, posted (3 years 3 months 1 week 5 days ago) and read 3412 times:

Maybe SQ are filling the front end more. Just got back from ADL with them. Both flights were about 85% full economy, but 100% full front end.

User currently offlineflythere From Hong Kong, joined May 2010, 441 posts, RR: 0
Reply 23, posted (3 years 3 months 1 week 5 days ago) and read 3355 times:

Quoting col (Reply 22):
Maybe SQ are filling the front end more. Just got back from ADL with them. Both flights were about 85% full economy, but 100% full front end.

Yea probably true that yields in the front end improved a lot. But ADL case simply is that other budget carriers do not operate this route and pax doing kangeroo flight arent the point to be considered as demand and supply quite steady.


User currently offlineBthebest From United Kingdom, joined Jan 2008, 506 posts, RR: 0
Reply 24, posted (3 years 3 months 1 week 5 days ago) and read 3346 times:

Anyone know what the 'Profit per Kilometre' (or something similar) is?

Might make an interesting comparison.


25 huaiwei : And what an interesting choice of "statistics" no less. Are you going to make the same comparison between HK's tourism numbers and CX's passenger num
26 Post contains images flythere : Haha please enlighten me why SQ's passenger carried drop more or grow much slower while the SG visitor number changes? How do all those vistors trave
27 ycp81 : According to a crew friend of mine, he mentioned that SQ really has problems filling up their planes nowadays. Over the past few months, he has operat
28 Post contains images flythere : That's a shock news to hear. I learnt from some Star Alliance frequent flyers that it is basically impossible to redeem SQ tickets with other *A mile
29 ManekS : SQ doesn't even care about its own FF members, let alone those from partner airlines. SQ is very stubborn, something which people ought to realize by
30 huaiwei : Haha could you read English? I clearly explained in much detail in my post. Well haha, I am a geography academic with specialisation in international
31 worldliner : Great news for SIA, those 380's and 77W's are getting everyone profitable!
32 Post contains images flythere : If you ever ask such a question, I am afraid you got to have some medical check given so many of my responses above, lest what you wrote were not Eng
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