, Singapore

Singapore Airlines’ net losses in FY 2023 to ‘narrow significantly’: UOB Kay Hian

This is on the back of travel recovery and fuel hedging gain.

Flagship carrier, Singapore Airlines (SIA), is seen to narrow its net losses to $28m in fiscal year 2023 compared to $1.05b net losses in fiscal year 2022, multinational banking firm, UOB Kay Hian, said.

This will be driven by travel recovery amidst Singapore’s goal for economic reopening and fuel hedging gain of over $1b due to its 40% fuel hedge level throughout fiscal year 2023.

Further, UOB Kay Hian said SIA’s net profit is also expected to rebound to $338m in fiscal year of 2024 and $728m in fiscal year of 2025, forming 50% and 107% of the fiscal year 2019 level or pre-pandemic period.

This is due to SIA’s proactive capacity reactivation strategy where a route or flight will be reactivated provided that the operation is cash flow positive, UOB Kay Hian said. 

UOB Kay Hian further explained that whilst the strategy will aid SIA to grow its market share versus competitors during the recovery, the recovery in SIA’s core operating profit would be more backend loaded as operating costs would run relatively faster than pax revenue in the early phase of recovery.

Follow the link for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!