SIA: Singapore Airlines Limited

2H FY24 Financial results

• Revenue: SGD 9.85B

  Increased 5% Year-on-Year

  Increase in passenger flown revenue on the back of a 17.5% growth in traffic, which was slightly below the 17.7% expansion in capacity. Passenger yields declined 6.0% on intensifying competition as other airlines progressively restored capacity. Cargo revenue fell 29.7% with yields declining -35.9% amid the recovery in bellyhold cargo capacity.

• Net Profit: SGD 1.2B

  Increased 0% Year-on-Year

  In the second half, the Group operating profit decreased by -19.5% from the previous year. Net profit was stable year-on-year. This was due mainly by a lower tax expense and a surplus on disposal of aircraft, spares, and spare engines versus a loss the year before, which offset the decline in operating performance.

• Return on Equity (ROE): 15%

  Increased 22% Year-on-Year

  A reduced equity base due to the partial redemption of the mandatory convertible bonds.

• Dividend Per Share: SGD 0.38

  Increased 36% Year-on-Year

• Debt to Equity Ratio: 82%

• Outlook

  The demand for air travel remains healthy in the first quarter of FY2024/25, supported by a strong pick up in forward bookings to North Asia and South East Asia. Passenger yields will likely continue to moderate due to increased capacity by airlines, especially in the Asia-Pacific region. The Group will closely monitor market conditions and adjust our network as necessary in line with demand patterns. Cargo demand strengthened towards the end of FY2023/24, on the back of healthy e-commerce demand, resilient and growing segmetns such as perishables and concerts, as well as a shift to air freight by some shippers due to security concerns in the Red Sea region. While yields have held above pre-pandemic levels in FY2024/25, there continues to be downward pressure as industry bellyhold capacity increases. The group will monitor key trade lanes to ensure the competitiveness of the cargo segment.

  Sources: SIA: Singapore Airlines Limited Financial Report