Singapore Airlines (C6L) H1 2025 earnings summary

Executive summary

• Revenue rose 3.7% year-on-year to SGD 9.5 billion, but net profit fell 48.5% to SGD 742 million due to higher costs and lower yields.

• Operating profit for the first half was SGD 796 million, down 48.8% year-on-year, with an 8.4% margin.

• Interim dividend of 10 cents per share declared, payable December 11, 2024, unchanged from last year.

• Passenger numbers rose 10.8% to 19.2 million, but load factor dropped 2.4 points to 86.4% as capacity growth outpaced traffic.

• Cargo segment saw strong demand, with load factor up 4.7 points to 57.4%, though yields fell 13.4% amid increased capacity.

Financial highlights

• Passenger flown revenue increased due to higher traffic, but yields declined amid increased capacity and competition.

• Cargo revenue rose, supported by strong e-commerce demand and higher loads, but yields declined.

• Expenditure increased 14.4% year-on-year to SGD 8.7 billion, with net fuel costs up 19.6% and non-fuel costs up 12.1%.

• Operating cash flow was $1,922 million, down from $2,557 million a year ago.

• EBITDA margin exceeded 24% for the period.

Outlook and guidance

• Yield moderation is expected to continue, but yields remain above pre-COVID levels.

• Demand is expected to stay healthy, with strong load factors and robust air freight demand into the year-end peak.

• The Group will adjust network and capacity to match demand and maintain cost discipline.

• Ongoing supply chain challenges and aircraft delivery delays are being managed proactively.