Singapore Airlines (C6L) H1 2026 earnings summary

Executive summary

• Achieved record first-half group 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, particularly Air India.

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

• Board declared an interim dividend of SGD 0.05 per share and an interim special dividend of SGD 0.03 per share, with a multi-year special dividend plan totaling SGD 0.10 per share annually for three years.

Financial highlights

• Group revenue for H1 rose 1.9% to SGD 9,675.2 million; passenger flown revenue was SGD 7,786.3 million (+1.5% YoY); cargo revenue declined 2.8% to SGD 1,071.1 million.

• Total expenditure increased 2.0% to SGD 8,872 million, with non-fuel costs up 5.9% and net fuel costs down 6.7%.

• EBITDA was SGD 1,855.2 million with a margin of 19.2%.

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

• Cash position at SGD 8.5 billion as of September 30; debt-equity ratio improved to 0.7.

Outlook and guidance

• Travel demand expected to remain stable in 2026 despite rising competition and ongoing risks from geopolitical tensions, macroeconomic headwinds, inflation, and supply chain constraints.

• Scoot's yield decline expected to moderate as new routes mature and demand remains strong.

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

• Expects to end FY25/26 with 218 aircraft in the operating fleet.

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