Singapore Airlines records first annual loss in 48-year history
The sudden halt in global travel belted Singapore Airlines in Q4 and left it in the red for the year, it reported Thursday. It is SIA's first annual net loss in its 48-year history. The airline recorded a net loss of S$732.4m in the three months to March 31, a stark reversal of the S$202.6m profit in the same period last year. Revenue was hammered as well, falling 22% to $3.2b. Full-year net loss came in at $212m, down from earnings of $683m in the previous year, on turnover of $16b, a fall of 2.1%. Operating profit for the year fell 94.5% to $59m, down from $1.07b. The airline has set up an internal task force "to review all aspects of our operations" so that it will be ready to ramp up when air travel is out of the doldrums. "This includes any modifications to our in-flight products and end-to-end service delivery to provide additional health and safety assurances to our customers and our crew," said SIA. The sudden turn in fortunes came in the last quarter. SIA had, in fact, racked up a strong performance in the preceding nine months, driven by robust passenger traffic numbers and business transformation initiatives. But once fears about the virus took hold, passenger traffic declined sharply. As a result, it swung into an operating loss of $830m in Q4, a reversal of the $253m profit a year earlier. SIA said the prospects of recovery will depend on the easing of border controls and travel restrictions. "There is no visibility on the timing or trajectory of the recovery at this point, however, as there are few signs of an abatement in the Covid-19 pandemic," it said.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-05-15/star/singapore-airlines-records-first-annual-loss-in-48-year-history
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Singapore Airlines records first annual loss in 48-year history
The sudden halt in global travel belted Singapore Airlines in Q4 and left it in the red for the year, it reported Thursday. It is SIA's first annual net loss in its 48-year history. The airline recorded a net loss of S$732.4m in the three months to March 31, a stark reversal of the S$202.6m profit in the same period last year. Revenue was hammered as well, falling 22% to $3.2b. Full-year net loss came in at $212m, down from earnings of $683m in the previous year, on turnover of $16b, a fall of 2.1%. Operating profit for the year fell 94.5% to $59m, down from $1.07b. The airline has set up an internal task force "to review all aspects of our operations" so that it will be ready to ramp up when air travel is out of the doldrums. "This includes any modifications to our in-flight products and end-to-end service delivery to provide additional health and safety assurances to our customers and our crew," said SIA. The sudden turn in fortunes came in the last quarter. SIA had, in fact, racked up a strong performance in the preceding nine months, driven by robust passenger traffic numbers and business transformation initiatives. But once fears about the virus took hold, passenger traffic declined sharply. As a result, it swung into an operating loss of $830m in Q4, a reversal of the $253m profit a year earlier. SIA said the prospects of recovery will depend on the easing of border controls and travel restrictions. "There is no visibility on the timing or trajectory of the recovery at this point, however, as there are few signs of an abatement in the Covid-19 pandemic," it said.<br/>
