Spring Air posts 44% profit gain
Spring Airlines reported a 44% gain in Q1 profit as lower fuel prices and growth in Asian travel demand propelled earnings. Net income climbed to CNY366.7m (US$57m) from CNY254.3m a year earlier, the carrier said Thursday. For the full year, net income rose 50% to CNY1.3bin 2015, including a foreign-exchange loss of CNY79.1m. Crude oil prices fell more than 30% last year, helping lower fuel costs for carriers and boosting their earnings. Still, profit growth was tempered by foreign-exchange losses resulting from the yuan’s biggest decline since 1994, with the nation’s 3 biggest state-owned airlines recording a combined $2.5b loss from the Chinese govt’s surprise currency devaluation last year. Shares of Spring, set up in 2005, have gained fivefold since they started trading in Jan 2015, fuelled by potential growth in Asia. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2016-04-29/unaligned/spring-air-posts-44-profit-gain
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Spring Air posts 44% profit gain
Spring Airlines reported a 44% gain in Q1 profit as lower fuel prices and growth in Asian travel demand propelled earnings. Net income climbed to CNY366.7m (US$57m) from CNY254.3m a year earlier, the carrier said Thursday. For the full year, net income rose 50% to CNY1.3bin 2015, including a foreign-exchange loss of CNY79.1m. Crude oil prices fell more than 30% last year, helping lower fuel costs for carriers and boosting their earnings. Still, profit growth was tempered by foreign-exchange losses resulting from the yuan’s biggest decline since 1994, with the nation’s 3 biggest state-owned airlines recording a combined $2.5b loss from the Chinese govt’s surprise currency devaluation last year. Shares of Spring, set up in 2005, have gained fivefold since they started trading in Jan 2015, fuelled by potential growth in Asia. <br/>
