China Airlines (2610) Q2 2024 earnings summary

Executive summary

• Operating revenue for the six months ended June 30, 2024 was NT$98.91 billion, up 10% year-over-year, with net income rising to NT$7.14 billion from NT$4.86 billion.

• Gross margin remained strong at 84%, and earnings per share increased to NT$1.08 from NT$0.77 year-over-year.

• Total assets reached NT$306.56 billion, with equity attributable to owners at NT$76.35 billion as of June 30, 2024.

Financial highlights

• Operating profit for the six months was NT$8.07 billion, up from NT$6.61 billion year-over-year.

• Net cash generated from operating activities was NT$24.93 billion, while cash and cash equivalents increased to NT$43.51 billion.

• Passenger revenue grew to NT$64.68 billion, cargo revenue was NT$27.09 billion, and other revenue NT$7.15 billion for the six months.

• Finance costs decreased to NT$1.29 billion from NT$1.37 billion year-over-year.

Outlook and guidance

• The company continues to invest in fleet renewal, with significant aircraft purchase commitments for A321neo, 777F, and 787 series, and expects further deliveries through 2028.

• Ongoing focus on cost control, risk management, and hedging strategies to mitigate fuel and currency volatility.