SIA Q4 profit jumps 47% to $39.6 million, full-year earnings up 2.5% to $367.9 million

Singapore Airlines (SIA) has reported a 47 per cent jump in net profit to $39.6 million, for the three months to March 31, partly due to lower oil prices. --ST FILE PHOTO
Singapore Airlines (SIA) has reported a 47 per cent jump in net profit to $39.6 million, for the three months to March 31, partly due to lower oil prices. --ST FILE PHOTO

SINGAPORE - Singapore Airlines (SIA) has reported a 47 per cent jump in net profit to $39.6 million, for the three months to March 31, partly due to lower oil prices.

Group revenue rose to $3.88 billion from $3.63 billion a year ago.

Total spending was lower but increased to $3.79 billion, from last year's $3.69 billion.

For the full year to end-March, earnings grew 2.5 per cent to $367.9 million.

Market conditions remain challenging amid an uncertain global economic outlook, SIA said on Thursday.

Demand in key markets is soft, primarily on Americas and European routes.

"Competition remains intense as other airlines continue to inject capacity with aggressive pricing" the airline said in its results announcement.

Depreciation of key revenue-generating currencies, such as the Australian dollar, Japanese yen and euro, will place further pressure on yield and demand, while the stronger US dollar will increase operating costs.

To meet the challenges ahead, SIA said it will continue its disciplined approach in capacity deployment and cost management, while enhancing product offerings and leveraging the various airline subsidiaries to tap demand across a diverse range of travel segments.

The board has recommended a final dividend of 17 cents per share, which including the interim dividend of 5 cents per share, brings the total dividend to 22 cents per share.