Singapore Airlines (C6L) investor relations material

Executive summary

• Achieved record first-half revenue of SGD 9.675 billion, up 1.9% year-over-year, driven by robust passenger demand and higher traffic, though yields declined 2.9% amid increased competition.

• Operating profit rose 0.9% to SGD 803 million, but net profit dropped 67.9% to SGD 238.5 million, mainly due to a swing from net interest income to expense and significant losses from associated companies, notably Air India.

• Passenger numbers rose 8.0% year-over-year, with load factor improving to 87.7%.

• Announced a capital return plan with a special dividend of 10 cents per share annually for three years, starting with an interim special dividend of 3 cents and an interim dividend of 5 cents per share.

Financial highlights

• Group revenue: SGD 9.675 billion (+1.9% YoY); passenger flown revenue: SGD 7.786 billion (+1.5% YoY); cargo revenue: SGD 1.071 billion (-2.8% YoY).

• Total expenditure increased by 2.0% to SGD 8.872 billion, with non-fuel costs rising 5.9% and net fuel costs falling 6.7%.

• EBITDA: SGD 1.855 billion; EBITDA margin: 19.2%.

• Earnings per share: 7.9 cents, down from 22.9 cents a year earlier.

• Cash position stood at SGD 8.5 billion as of 30 September; debt-equity ratio improved from 0.82 to 0.7 over six months.

Outlook and guidance

• Travel demand expected to remain stable into 2026, though competition is intensifying and cargo outlook is uncertain due to shifting trade policies.

• The group will continue to adjust capacity and network to match demand and maximize revenue, while investing in service, product, and network connectivity.

• No major operational impact anticipated from aircraft delivery delays due to built-in fleet flexibility.

• Plans to pay special dividends of 10 cents per share annually for three years, totaling about SGD 0.9 billion.

• Projected capital expenditure: SGD 3.5 billion in FY25/26, rising to SGD 4.7 billion in FY26/27, then tapering.