Cheap fuel lifts Singapore Airlines
3 Oct 2016 01:55:32
nzherald.co.nz
The New Zealand branch of Singapore Airlines lifted annual profit by 63 per cent as cheap jet fuel helped the airline fatten margins while reaping less passenger revenue.
Net profit rose to $7.9 million in the 12 months ended March 31, from $4.8m a year earlier, Singapore Airlines NZ's financial statements lodged with the Companies Office show. Revenue, which is almost entirely attributable to passengers, dropped 12 per cent to $175.8m, while expenditure fell 14 per cent to $168m.
The NZ company's fuel bill dropped 25 per cent in 2016 to $53.6m as the price of crude oil fell, reaching 12-year lows in February. A global glut of oil, driven by increased supply from the US, Canada, Iraq and the Organisation of Petroleum Exporting Countries and slower demand from China, drove the price of crude 75 per cent down from its levels of mid-2014.
Read full story: nzherald.co.nz
