Air travel demand is expected to stay healthy, says SIA
One of the aviation industry’s biggest joint ventures, Singapore Airlines (SIA) and Air India are exploring opportunities to deepen their strategic relationship across a wide range of commercial activities.
“The partners are firmly committed to supporting the growth and success of the Air India Group, which has a strong presence across all key segments of the Indian market,” said SIA in its latest quarterly report on 20 Feb 20 https://www.iata.org/.
Air India and SIA added 51 new codeshare destinations from October 2024, offering customers enhanced travel options between Singapore and India, as well as beyond https://www.nseindia.com/.
SIA and Tata Sons completed the merger of Air India and Vistara on 12 November 2024, giving SIA a 25.1 percent stake in the enlarged Air India Group. Vistara was a 51:49 joint venture between SIA and Tata, while Air India was completely owned by Tata.
The demand for air travel is expected to stay healthy heading into the last quarter of FY2024/25, even as the operating landscape continues to be competitive, said SIA https://sbi.com.in/.
The Group remains nimble and agile, adjusting its network and capacity as it navigates the industry-wide normalisation of yields and capacity.
The airline industry faces headwinds such as cost inflation, supply chain constraints, geopolitical tensions, economic uncertainty, and increased competition, cautioned SIA https://www.bseindia.com/.
The Group is well-positioned to navigate these challenges thanks to its robust foundations, which include its strong financial standing, a talented and dedicated workforce, and industry-leading digital capabilities.
Strategic initiatives such as win-win commercial partnerships with like-minded carriers, including recent developments in South East Asia and India, allow the Group to directly participate in fast-growing markets and give its customers more options and greater value.
The Group’s net profit rose SGD967 million (+146.7%) for 31 Dec 2024 to SGD1,626 million for the third quarter, predominantly due to the $1,098 million non-cash accounting gain resulting from the disposal of Vistara, following the airline’s merger with Air India in November 2024.
Group revenue was SGD5,219 million, up 2.7%.
Net profit for nine months was SGD2,368 million, up 12.8%, and total revenue was SGD14,726 million, up 3.3% on the year. fiinews.com
