Singapore Airlines first-half profit plunges 44pc to S$134m on higher fuel costs

The lower net profit was largely attributable to the decline in operating profit, partially offset by a lower share of losses from associated companies, mainly Air India and lower tax expenses. — AFP pic

First Published: Wednesday, 11 Nov 2026 7:50 PM MYT

SINGAPORE, Nov 11 — Singapore Airlines (SIA) Group’s net profit declined by 43.9 per cent to S$134 million (RM426.12 million) during the first half of financial year 2026/27 (1H FY2026/27), from S$239 million in the preceding year, amid elevated jet fuel prices due to the West Asia conflict.

The lower net profit was largely attributable to the decline in operating profit, partially offset by a lower share of losses from associated companies, mainly Air India and lower tax expenses.

Revenue rose 16.8 per cent in 1H to a record S$11.29 billion from S$9.67 billion previously, driven by record passenger carriage and robust growth in passenger and cargo yields.

For the second quarter ended September 30, 2026, the group’s net profit jumped to S$210 million from S$52 million on stronger operating profit, while revenue rose to S$5.58 billion from S$4.88 billion in the preceding year.

The group said passenger flown revenue grew by 16.8 per cent to S$9.09 billion in 1H, with SIA and Scoot carrying a half-year record of 21.8 million passengers, up 5.0 per cent year-on-year.

Cargo revenue also grew 30.2 per cent to S$1,394 million, driven by a 25.4 per cent improvement in yields and a 2.0 percentage point increase in the cargo load factor (CLF) to 58.5 per cent.

“For the period April to September 2026, despite the headwinds from the West Asia conflict on the global airline industry, the group’s passenger capacity grew 4.9 per cent.

“This reflects its ability to respond with agility and capture market opportunities amid an uncertain operating environment,” the group said in a statement on Wednesday.

Looking ahead, the group emphasised that it is well-positioned to navigate uncertainties in the airline industry, as well as volatile geopolitical developments, including the ongoing conflict in West Asia.

“Due to the geopolitical situation in West Asia, Scoot’s services to Jeddah, Saudi Arabia and SIA’s services to Dubai, the United Arab Emirates, remain suspended.

“The launch of SIA’s services to Riyadh, Saudi Arabia, has been deferred to March 2027,” it said, adding that the group will continue to monitor developments closely and adjust its schedules as appropriate. — Bernama