Higher passenger numbers and air cargo traffic helped Singapore Airlines return to profit in the last quarter.
Results for the three months to June 30 show an operating profit rising by 45% year-on-year to S$281 million.
This marks a turnaround for SIA following a surprise loss – its first in three years – in the previous quarter.
However, the group’s net profit fell by S$22 million to S$235 million.
SIA said: “The business outlook for the airline industry remains challenging, as the uncertain global economic climate and geopolitical concerns, coupled with over-capacity in our key markets, continue to dampen yield performance.
“Fuel prices are expected to remain volatile in the months ahead, as the global oil market continues to adjust to demand and supply conditions.
“The group will continue to take delivery of modern and fuel-efficient aircraft to further expand its network and enhance its competitiveness in both the full-service and low-cost market segments.”
Integration of low cost arms Scoot and Tigerair under the Scoot brand was completed on Tuesday.
“There will be more expansion opportunities for the low-cost segment of the group portfolio, as the merged entity’s strong south-east Asia presence will help to generate connecting traffic with long-haul flights,” SIA said.
“The group’s transformation programme is also ongoing, to identify new opportunities for revenue generation, and to re-structure its cost base.”
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