Air China Q3 net profit up 62%

Air China reported a net profit of CNY3.8b in Q3, up 62% over a net income of CNY2.3b in the year-ago quarter. Third-quarter operating revenue rose 2% to CNY32b while operating expenses increased 6% to CNY23.1b. The Beijing-based carrier credited steady market demand growth, especially during the peak summer holidays season, and low fuel prices for the carrier’s much-improved performance. Passenger revenue was up 9.2% to 50.5b RPKs against a 7.6% increase in capacity to 61b ASKs. Passenger load factor was 83%, up 1.2 points over the year-ago quarter. Looking ahead, Air China said, “In spite of the challenges facing the global aviation industry—exchange rate fluctuations, fuel price uncertainty and geo-political risks—the overall market supply and demand trend looks to be positive.”<br/>