Singapore Airlines 1Q16 Net Profit More Than Double On Lower Fuel Costs

For the quarter ended 30 June 2015, Singapore Airlines saw its net profit surged 162.1% to $92.1 million on the back of reduction in net fuel costs.

The $182 million savings in fuel price, with some of the benefits eroded due to the strengthening of the US dollar, was the main driver behind improved profitability. Operating margin rose a 1.9 percentage point to 3 percent.

Revenue for the three-month came in $3,733.3 million, a 1.4% increase year-on-year, helped by better showing at Tiger Airways Holdings.

Looking ahead, advance passenger bookings for the July-September quarter are higher year-on-year, mainly supported by promotional content. The national carrier has hedged 55.4 percent of its jet fuel requirement for the quarter at a weighted average price of US$104 per barrel.

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