Korean Air estimates that its 2018 full year operating profit will slide 28% to W692b (US$620m), primarily due to impact from higher fuel costs. In an investor presentation, the airline said that revenue is estimated to grow 7.2% to W12.7t , this involves a 9.8% jump in passenger revenue to W7.7t and a 7.2% climb in cargo revenue to W3.01t. Income from other segment declined 2.5% to W1.9t. Operating expenses meanwhile rose 10.3% to W11.9t, as fuel expenses jumped 26% to W3.29t. Non-fuel expenditure also climbed 5.3% due to higher labour costs. Net loss is expected to come in at W80.3b, attributed to foreign exchange losses and higher interest expense. The airline is likely to release the full year figures in February. <br/>
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Garuda Indonesia is studying its options about a 51% stake in Sriwijaya Air through low-cost unit Citilink. In response to a stock exchange query, Garuda says options under consideration include a debt-to-equity swap, which would see Sriwijaya Air's debts owed to the Garuda Indonesia Group converted into shares. "The study is being made so that [any] transaction would be conducted in accordance with the applicable regulations, and that it provides an optimal result for the company," says Garuda. The carrier's response was made after its commercial director was quoted in a Jan 23 Tempo newspaper report that Garuda is set to take a 51% stake in Sriwijaya Air over the next 4 months. Garuda's CE Ari Askhara was quoted in the same report as saying that a debt-to-equity conversion will be made. <br/>
Aeroflot Group carried 55.7m passengers in 2018, up 11% year-over-year. International traffic grew 9.7% to 24.7m, while domestic traffic increased 12.3% to 31m. Passenger load factor decreased 0.1 point to 82.7%. RPKs were up 9.9% to 143b; ASK increased 10.1% to 173b. Aeroflot Airline carried 35.8m passengers, up 8.9% YOY. International traffic was up 6.2% to 18.2m, while domestic traffic increased 11.8% to 17.6m. Passenger load factor decreased 1.3 points, to 80.5%. RPKs grew 6.7% to 98b; ASK increased 8.4% to 121.7b. In Dec 2018, Aeroflot Group added 1 Airbus A320 and 1 Boeing 737-800, and phased out 1 A319 and one A321. Last year, Aeroflot Group’s fleet net change amounted to 40 aircraft. As of Dec 31, 2018, the group’s fleet reached 366 aircraft. Aeroflot Airline’s fleet stands at 253 aircraft. <br/>