Noting that SIA's budget carriers, Tiger Air and Scoot, had done better than their parent airline, Shukor said this indicates "that the growth for the SIA Group is pretty much now in the low-priced segment of the business".
Singapore Airlines suffered an operating loss of SGD41 million in the March quarter.
SIA Cargo Returns to the Mother Ship SINGAPORE - Singapore Airlines' (SIA) wholly-owned freight carrying subsidiary, SIA Cargo, is to be re-integrated as a Division within SIA, in a move meant to improve efficiency through greater collaboration with the wider SIA Group.
The Singapore Airlines Group (SIA) has reported a 55.2 percent drop in net profit to S$360.4 million for its 2016/17 financial year ending March 31 on revenues of S$14.86 billion.
SIA is following in the footsteps of the other marquee Asian carrier Cathay Pacific Airways, which has embarked on a three-year revamp to cut costs after reporting its first floss in eight years.
Van driver dies in Friday morning crash
No students were reported injured in the crash, but the driver of the vehicle was "seriously" hurt, officials said. Names of those involved have not been released because family members are still being notified.
The bottom line was hit by a sharp drop in operating profit, and a S$132 million provision for SIA Cargo related to an European Union air cargo competition case. SIA, which is under pressure from regional discount carriers and Middle-Eastern rivals, said in February that 2017 will be a challenging year as passenger and cargo yields - a key measure of profitability - remain under stress.
A dedicated transformation office is conducting the review, aimed at reshaping the business "that continues to deliver high-quality products and services, though with a significantly improved cost base and higher levels of efficiency", it said in a statement Thursday (May 18). They noted that although load factors received a lift, this had come at the expense of yields.
In an interview with The Business Times last month, SIA chief Goh Choon Phong said the review would cover all aspects of the business, from its network to fleet to product and service. While the review is not setting out to cut jobs, some positions will become redundant, he said. The group stressed that there will be no change to the operations in SIA Cargo, which will continue to run a fleet of seven B747-400 freighters. Singapore Airlines Cargo said at the time that it will "study the grounds of the decision, after which it will consider an appropriate course of action". For those whose alternative job positions have yet to be confirmed, placement opportunities will be facilitated elsewhere within the group, says SIA.
SIA Cargo was launched in 2001 as a separate company to operate up to 17 B747 freighters. This has forced SIA Cargo to right-size its fleet.