
SIA staff to get 7.45 months' bonus after airline posts record $2.8 billion profit
Singapore Airlines (SIA) has posted a record $2.8 billion net profit for the year ended March 31 and is said to be rewarding staff with a profit-sharing bonus of 7.45 months.
Its record profit was boosted by a one-off non-cash accounting gain of $1.1 billion from the Air India-Vistara merger, it said in a filing on the Singapore Exchange on May 15.
Group revenue also climbed 2.8 per cent from the year before to hit a record $19.54 billion, driven by resilient demand for air travel and cargo uplift, it added.
In response to queries from The Straits Times on staff bonus, SIA said it can confirm that employees will receive a profit-sharing bonus in recognition of their dedication and hard work in FY2024-25.
"This is based on a longstanding formula that has been agreed with our staff unions," SIA said, without disclosing details of the formula and bonus.
The 7.45 months' bonus is slightly lower than the 7.94 months for the year before.
The Air India-Vistara merger was completed in November 2024.
Before the merger, Vistara was jointly owned by Tata Sons and SIA. After the merger, SIA holds a 25.1 per cent stake in the enlarged Air India, allowing it to participate directly in the fast-expanding Indian aviation market.
SIA and its budget airline Scoot also carried a record 39.4 million passengers, up 8.1 per cent, it said.
Despite carrying more passengers, passenger yields - the amount earned per passenger for each kilometre flown - dipped 5.5 per cent to 10.3 cents per revenue passenger-kilometre.
This was amid intensified competition due to industry-wide capacity injection, SIA said.
Passenger traffic growth, which stood at 6.4 per cent, also lagged behind its capacity expansion of 8.2 per cent.
Meanwhile, its cargo flown revenue improved by $94 million, or 4.4 per cent, buoyed by the strong demand for e-commerce and perishables, as well as the spillover from disruptions to sea freight.
SIA's board of directors recommended a final dividend of 30 cents per share for the full year.
Including the interim dividend of 10 cents per share paid on Dec 11, 2024, the total dividend for the year will be 40 cents per share, representing a total dividend distribution of $1.2 billion for the year.
The final dividend, which is subject to shareholders' approval, will be paid on Aug 27.
Looking ahead, SIA said the global airline industry faces a challenging operating environment amid changing tariff policies and trade tensions, economic and geopolitical uncertainties, and continued supply chain constraints.
"These factors may impact consumer and business confidence, potentially affecting both passenger and cargo markets," it added.
"The group remains vigilant, closely monitoring developments and prepared to respond swiftly to market conditions."
On a positive note, SIA said shifts in global passenger and trade flows may open new opportunities for the group, with its well-diversified global passenger and cargo network.
It added that its hub in Singapore offers a strategic advantage, given its position at the centre of growing economies in South-east Asia, South Asia and the wider Asia-Pacific region, and the group's strong presence in these markets.
"The group's dual-brand strategy, which leverages both SIA and Scoot, provides it with the flexibility to offer customers a wide range of options while responding nimbly to market dynamics," it said.
It is also prepared to partner other airlines to open up growth opportunities, particularly in the Asia-Pacific region.
"Continued focus on product leadership and service excellence, including investments in next-generation aircraft, new cabin products and airline lounges, will help the group's airlines maintain their competitive edge by providing customers with more value and enhancing the end-to-end travel experience," SIA said.
The group's operating fleet stands at a total of 205 aircraft as at March 31. SIA operates 145 passenger aircraft and seven freighters, while Scoot has 53 passenger aircraft. As at May 1, the group has 78 aircraft on order.
Its passenger network also covered 128 destinations in 36 countries and territories as at March 31.
SIA will increase services to Brisbane, Colombo, Jakarta, Johannesburg, London (Gatwick), Manila and Seattle for the operating season from March to October.
Meanwhile, Scoot launched services to Iloilo City in April and will begin operations to Vienna in June.
SIA will also start revenue-sharing flights with All Nippon Airways (ANA) between Japan and Singapore from September, with the joint fare products for these services going on sale in May.
To bolster its premium positioning, SIA has announced a $1.1 billion investment to install all-new cabin products across its Airbus A350-900 long-haul and ultra-long-range fleet, including the debut of its new First Class cabin in seven A350-900 ultra-long-range aircraft.
It also announced a $45 million transformation of its SilverKris and KrisFlyer Gold lounges at Singapore Changi Airport Terminal 2, to provide more space, upgraded facilities and more food and beverage options.
The group also continues to invest in its digital capabilities, including generative artificial intelligence, giving it an edge in the competitive aviation landscape, SIA said.
SIA shares closed 0.3 per cent, or two cents, higher at $6.88 on May 15, before its financial results were announced.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Times
4 hours ago
- Business Times
Sembcorp's renewables unit wins 50MW round-the-clock power project from Indian public sector company
[SINGAPORE] Sembcorp Industries on Thursday (Jun 12) announced that its wholly owned renewables subsidiary Sembcorp Green Infra was awarded a 50 megawatt (MW) round-the-clock power project from Solar Energy Corporation of India (SECI), an Indian public-sector company. Under the build-own-operate project, Sembcorp will integrate around 300 MW of installed capacity that comprises solar and wind energy as well as battery energy storage solutions, to meet a contracted capacity. Once the project is complete, it will then supply round-the-clock renewable power, supported by battery energy storage solutions, to SECI. This is subject to the execution of a 25-year power purchase agreement with SECI. The project is expected to be ready for commercial operations within 24 months from the date the agreement is signed, Sembcorp said. It will be financed through a mix of internal funds and debt. With the project, Sembcorp will expand its renewables capacity in India to more than 6.5 gigawatts (GW). The group said its global renewables portfolio has reached 18 GW, including acquisitions pending completion. Sembcorp said the award of the project is not expected to have material impact on its earnings per share and net tangible assets per share for the fiscal year ending December. Shares of Sembcorp were trading 0.3 per cent or S$0.02 higher at S$6.77 as at 12.58 pm on Thursday.
Business Times
4 hours ago
- Business Times
Sembcorp's renewables unit wins round-the-clock power project from Indian public sector company
[SINGAPORE] Sembcorp Industries on Thursday (Jun 12) announced that its wholly owned renewables subsidiary Sembcorp Green Infra was awarded a round-the-clock power project from Solar Energy Corporation of India (SECI), an Indian public-sector company. Under the build-own-operate project, Sembcorp will integrate around 300 megawatts of installed capacity that comprises solar and wind energy as well as battery energy storage solutions, to meet a contracted capacity. Once the project is complete, it will then supply round-the-clock renewable power, supported by battery energy storage solutions, to SECI. This is subject to the execution of a 25-year power purchase agreement with SECI. The project is expected to be ready for commercial operations within 24 months from the date the agreement is signed, Sembcorp said. It will be financed through a mix of internal funds and debt. With the project, Sembcorp will expand its renewables capacity in India to more than 6.5 gigawatts (GW). The group said its global renewables portfolio has reached 18 GW, including acquisitions pending completion. Sembcorp said the award of the project is not expected to have material impact on its earnings per share and net tangible assets per share for the fiscal year ending December. Shares of Sembcorp were trading 0.3 per cent or S$0.02 higher at S$6.77 as at 12.58 pm on Thursday.

Straits Times
6 hours ago
- Straits Times
Malaysia Airlines, AirAsia update naming format for tickets
The guidelines are aimed at addressing long-standing issues, particularly for travellers whose names do not follow conventional formats. PHOTO: REUTERS PETALING JAYA - Malaysia Airlines and AirAsia have updated their name entry rules for flight bookings in an effort to better reflect the format used in Malaysian passports and to align with industry standard practice. The guidelines are aimed at addressing long-standing check-in issues, particularly for travellers whose names do not follow conventional formats or contain unique elements as listed in their passports. Both airlines are implementing the changes to streamline passenger processing and minimise errors linked to name discrepancies, including on how passengers can fill 'bin', 'binti', or 'anak' into the 'Last Name/Surname' field. For example, if the name on a passport is Ahmad Faliq bin Hamedi, it should be inserted in the First and Middle name section as 'Ahmad Faliq' while the Last/Surname section should be filled as 'Bin Hamedi'. Travellers are advised to refer to the airlines' official websites or their customer service channels for further details on the revised booking procedures. AirAsia reminded passengers to ensure that the name provided during flight bookings exactly matches the name as shown in their passport, visa, national identification card, or other travel documents. AirAsia also adopted a clear 'Given Name' and 'Family Name/Surname' format to cater to a wider range of naming conventions. The airlines stated this would better cater to Malaysian, Chinese, Indian, Filipino, Thai and Vietnamese names. It also stated its system does not accept symbols, special characters and has a limit on the length of their guests' names. 'If your name is spelled with a '@' or second name in your Identification Card, remove the '@' , insert a space between the two names,' said AirAsia. 'If your name contains 'A/P' or 'A/L', please omit it unless it appears in the 'Name' section of your passport. For names that include a hyphen '-', passengers are advised to replace it with a space when making a booking.' AirAsia also reminded passengers that changing names on their booking to another person is not allowed once the booking has been confirmed. 'Please check that all your details are correct before booking your flight,' the airline said, adding that it allow name corrections in certain cases, errors or misspellings. For more information, passengers can refer to the airline's website for more details. However, this new naming convention is leaving Ms Faridah Joned, who will be travelling to Europe next week via Malaysia Airlines, worried. The businesswoman is unsure if she needs to make changes to her existing bookings. 'I have already purchased the tickets and this is new to me. I did not put 'binti' under my booking. I hope there won't be any issues when I check-in for my flight next week,' she said. A passenger for AirAsia, who wanted to be known as Tan, said he was unaware about the latest requirement. 'I am not so worried about this as I still have time to make changes online,' he said. 'I hope if there are any such changes in the future, it should be made clearer and the airline should email us on such updates.' THE STAR/ASIA NEWS NETWORK Join ST's Telegram channel and get the latest breaking news delivered to you.