The SIA Group, comprising Singapore Airlines (SIA) and its low-cost carrier Scoot, announced a record net profit of $2.8 billion for the financial year 2024/25.
This marks a 3.9% increase from the previous year. Despite macroeconomic uncertainties, the Group remains optimistic about its robust market position. This has been driven by strong demand for air travel and cargo services.
FY2024/25 Financial Performance Highlights
Group revenue rose by 2.8% to a record $19.5 billion, fueled by resilient passenger and cargo demand. The Group carried 39.4 million passengers, an 8.1% increase year-on-year, setting a new record.
However, the passenger load factor (PLF) dipped by 1.4 percentage points to 86.6%, as capacity growth (8.2%) outpaced passenger traffic growth (6.4%).
Intensified competition, spurred by industry-wide capacity increases, led to a 5.5% decline in passenger yields to 10.3 cents per revenue passenger-kilometer.
Passenger revenue grew modestly by 1.0% to $15.8 billion. Meanwhile, cargo revenue saw a stronger 4.4% rise to $2.2 billion. This was boosted by robust e-commerce demand, perishable goods, and disruptions in sea freight.
However, operating profit fell significantly by 37.3% to $1.7 billion, reflecting higher costs and competitive pressures.
The record net profit was bolstered by a $1.1 billion non-cash accounting gain from the Air India-Vistara merger, completed in November 2024.
This strategic move enhanced SIA’s presence in the fast-growing Indian aviation market, with the Group now holding a 25.1% stake in the enlarged Air India.
Fleet and Network Expansion
As of March 31, 2025, the SIA Group operated a fleet of 205 aircraft, with an average age of seven years and eight months. SIA’s fleet included 145 passenger aircraft and seven freighters, while Scoot operated 53 passenger aircraft.
In April 2025, the Group added an Airbus A321neo and a Boeing 787-8. Additionally, 78 aircraft are on order, signaling continued investment in fleet modernization.
The Group’s passenger network spanned 128 destinations across 36 countries, with SIA serving 79 destinations and Scoot covering 71. The cargo network reached 132 destinations in 37 countries.
For the Northern Summer 2025 season (March 30 to October 25, 2025), SIA plans to increase services to key cities. These include Brisbane, Colombo, Jakarta, Johannesburg, London (Gatwick), Manila, and Seattle.
Scoot launched flights to Iloilo City in April 2025 and will commence operations to Vienna in June 2025.
Outlook and Strategic Advantages
The global airline industry faces a complex operating environment, with challenges such as shifting tariff policies, trade tensions, geopolitical uncertainties, and supply chain constraints.
These factors could impact consumer confidence and demand in both passenger and cargo markets. However, SIA Group is well-positioned to navigate these challenges, leveraging its strong fundamentals.
The Group’s dual-brand strategy, combining SIA’s premium offerings with Scoot’s budget-friendly services, provides flexibility to cater to diverse customer needs.
Its diversified global network, anchored by Singapore’s strategic location in the heart of fast-growing economies in Southeast Asia, South Asia, and the Asia-Pacific, offers a competitive edge.
Strategic partnerships, including the Air India-Vistara merger, further strengthen SIA’s multi-hub strategy and growth prospects in the Indian market.
With a robust balance sheet, a talented workforce, and industry-leading digital capabilities, SIA Group is poised to seize new opportunities while addressing market uncertainties.
The Group remains committed to delivering exceptional service and expanding its global footprint.
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