By Kimberley Kao


SINGAPORE--Singapore Airlines posted higher profit and record revenue in its latest quarter, driven by robust demand for air travel that it expects to continue into 2024.

The Singapore carrier said Tuesday that it posted a net profit of 658.7 million Singapore dollars (US$489.4 million) in the fiscal third quarter ended December, up from S$628.0 million a year earlier. Profit was helped by a lower tax bill, as well as a share in profits of associated companies versus a loss a year ago, it said.

Operating profit fell 19% on year to S$609.0 million on higher expenditure, while revenue rose 4.9% on year to a record $5.08 billion, helped by reopened borders after the Covid-19 pandemic.

"The demand for air travel remained robust... led by a rebound in North Asia as China, Hong Kong SAR, Japan, and Taiwan fully reopened," the airline said.

Singapore Airlines said it expects strong air-travel demand going forward, supported by demand for leisure travel.

It cautioned that passenger yields "continue to come under pressure from increased competition" as companies restore capacity, adding that high fuel prices and inflationary pressures have created a "more challenging" operating cost environment for airlines globally.

It added that it expects air freight volume to soften in the "seasonally weaker" January-to-March quarter, and that it foresees returning to pre-pandemic capacity levels in the fiscal year beginning April.


Write to Kimberley Kao at kimberley.kao@wsj.com


(END) Dow Jones Newswires

02-20-24 0526ET