Here's why SIA is heading into turbulence with heavy exposure to Europe and Australia

SIA derives 40% of its passenger income from these lower-growth regions.

Here's more from CIMB:

An uneven recovery ahead
SIA maintained its weak guidance for both its passenger and cargo businesses, mostly on long-haul routes. We are less pessimistic on the overall prognosis for the industry as we think that, like the rest of the sector, SIA will remain prudent with capacity growth in an attempt to stabilise yields.

That said, we believe SIA‟s relatively heavier exposure to lower-growth Europe and Australia is likely to harm it further in the near term. The carrier derives 40% of its passenger income and allocates about 50% of its available seat kilometre capacity to those two regions.

Structural difficulties ahead as well
Apart from increased risk posed by its route region profile, we believe that SIA continues to have little answer to the increased competition from the low-cost carriers in the region. Moreover, the fifth-freedom traffic dominance it once enjoyed has been eroded by Middle-Eastern carriers, especially on the Kangaroo route. In the future, we think the Chinese airlines are likely to boost frequencies on this sector as well, further eating into SIA‟s market share.

If you've been wondering whether SBR could work for your company — yes, probably.

A lot of the companies we partner with started as readers. They'd been following our coverage for a while, saw their own customers and competitors in it, and eventually asked the obvious question: could we do something with you? The answer is usually yes. The shape of it depends on what you're trying to do.

The options are broader than most people assume — thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. Some partners use one channel; most use a mix. We figure out the right combination by starting with your brief, not with our rate card.

So if the question has been on your mind, here's the easy way to ask it.

We'll tell you honestly whether we can help, and how. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia