Singapore Airlines’ latest disappointing financial results are ringing the alarm bells (“Singapore Airlines disappoints“, 20th May, 13). At first glance, Singapore Airlines (SIA) posted a 12.8% increase in FY2012/13 full-year profit to S$379 million (US$299.8 million) from S$335.9 million in the prior fiscal year on a 1.4% rise in revenue to S$15.1 billion from S$14.86 billion a year earlier. The operating profit for its namesake unit also improved by 3.3% …Read More
Tag Archives: SilkAir
Singapore Airlines disappoints
Singapore Airlines (SIA) prefaced its report on its annual performance for FY2012/13 with attribution to high fuel prices and lower yields owing to a weak global economy for its lacklustre results. The announcement concluded with an equally dismal outlook, saying very much the same thing, warning that “the global economic outlook remains uncertain with the ongoing weakness in the eurozone and sluggish recovery in the United States” and that “yields …Read More
The best is yet to come for Virgin Australia
Time flies. Three years into chief executive John Borghetti’s “Game Change” programme which has now evolved into the “Game On” phase, Australia’s second-largest carrier Virgin Australia transformed itself into a very different animal. Having uprooted from being a low-cost carrier (LCC) as Virgin Blue, the Brisbane-based carrier is now embarking on a portfolio strategy that promises to compete fiercely with flag carrier Qantas Airways in every single segment in the …Read More
Singapore Airlines at a crossroads
2012 was a significant year for Singapore Airlines (SIA) which saw the Singaporean flag carrier embark on a shift in strategy in reinvesting in its namesake unit alongside strengthening its strategic partnership with Virgin Australia by acquiring a 10% stake in a carrier well positioned in one of SIA’s most important core markets, in addition to the sale of its 49% stake in United Kingdom carrier Virgin Atlantic. These moves, coupled …Read More
Delta’s interest in Virgin Atlantic starts a British war
The interest of the world’s second-largest carrier, Delta Air Lines in Virgin Atlantic has certainly caused some excitement in the aviation scene, if not started a British war between old rivals International Airlines Group (IAG) chief executive Willie Walsh and Virgin Group chief executive Richard Branson. The following looks at what the deal means to each of the key players, including those on the sideline. Singapore Airlines Delta has reached …Read More
Virgin Australia’s acquisition spree strengthens foundation for growth
It is “game on”, indeed. Following successfully achieving the 20% corporate market share earlier than originally envisaged which saw the increasingly stiff competition in the lucrative business travel market pushing down domestic business fares to an unprecedented low level since the collapse of Ansett Australia in September 2001, Brisbane-based Virgin Australia did not stand still. Neither did its aspirations stop soaring when Australia’s second-largest carrier recorded a 113% increase in …Read More
Tiger Airways-Scoot tie-up: Time to redefine sibling airline roles
Singapore Airlines (SIA) may be caught in a bind with one too many carriers in its stable. SIA wholly-owned regional carrier SilkAir and the newly inaugurated budget carrier Scoot Airlines, and has a stake of close to 33% in budget carrier Tiger Airways. While analysts applaud a possible tie-up between Tiger Airways and Scoot as a positive move in rationalising their operations, what more than meets the eye is the cause …Read More
Qantas/Emirates partnership to reshape competitive landscape
The full-year FY2011/12 financial results of Australian flag carrier Qantas Airways paint of a bleak picture, as the flying kangaroo posted its first after-tax loss of A$244 million (US$254.8 million) since its privatisation in 1995, amid record high jet fuel prices and intense competition from Gulf carriers on the lucrative Australia-Europe, or “kangaroo route”. In response, Qantas cancelled its firm order for 35 Boeing 787-9 Dreamliners in order to rein …Read More
Singapore Airlines needs fresh injection of excitement
At last, some positive vibes from Singapore Airlines (SIA) as it announced plans to develop the next generation of in-flight cabin products to be introduced in the latter half of next year – a move that it says in a statement issued by the airline will help it “remain at the forefront of airline product innovation.” Cabin interiors, seats and the in-flight entertainment system will be revamped. It was 6 …Read More