Singapore Airlines’ financial performance has resulted in a profit of 2.778 billion Singapore dollars at the end of its financial year. This was 3.9% higher than the 2.675 billion Singapore dollar profit made in the previous year. In terms of revenue, Singapore Airlines’ end of year performance resulted in a figure of 19.54 billion Singapore dollars. This was 2.8% better than the 19.013 billion Singapore dollars made in the previous year. This shows that the airline is becoming more popular with customers.
Singapore Airlines has had a positive story since the end of the pandemic restrictions in 2022. Even though there was a surge in demand for flights when restrictions were lifted, the airline had proactively prepared for this scenario by recruiting staff earlier such that there were no staff shortages. This meant that the airline could meet the increased demand for flights. As a result, whilst other airlines struggled, leading to mass congestion at airports leading to flight delays and cancellations, Singapore Airlines was ahead of the game. This meant that Singapore Airlines’ profits quickly improved and it was able to expand its reach taking the place of other airlines which were struggling to cope.
Merger with Air India-Vistara
It does appear however that for the 2024-25 End of Year, Singapore Airlines’ financial performance, whilst its net profit improved, did not make as much from the delivery of its services. The Merger with Air India-Vistara has bequeathed Singapore Airlines an extra 1.1 billion Singapore dollars in what was termed a non-cash accounting gain. What this means is that essentially various valued items gained as a result of the merger, such as planes themselves, plane parts such as engines or computer systems, may have been revalued and contributed to the improvement in Singapore Airlines’ profit. This is supported by the fact that operating profit (which denotes the profit made from services provided before taking into account such changes) has actually decreased by 37.3%.
This shows that whilst net profit has improved, in terms of money made from selling flights, Singapore Airlines’ financial performance has not done as well. It does appear that total expenses increased by 9.5% which may indicate a problem with cost control with Singapore Airlines’ revenue failing to increase to compensate for this. The Merger with Air India-Vistara was completed in November 2024.
Celebrating Singapore’s Independence
In addition to completing the Merger with Air India-Vistara, Singapore Airlines is now celebrating 60 years of independence for the small island nation of Singapore from Malaysia which was granted in 1965. As part of this, the airline is offering special fares on flights as well as discounts from its onboard rewards program Krisflyer.
In addition, Singapore Airlines also hopes to raise 1.3 million Singapore dollars for the AWWA and Rainbow Centre, two Singapore-based agencies that support children and youth with disabilities and developmental needs. The airline will also match the amount raised by the general public by donating a further 1.3 million Singapore dollars to these charities. The airline is also hosting a 2 day event in July 2025 welcoming over 600 people including people from disadvantaged backgrounds, youth at risk, and the differently able for an exclusive behind the scenes tour of Singapore Airlines training centre.
As one can see, Singapore Airlines is taking a proactive approach to helping the community whilst offering customers perks in celebration of Singapore’s independence. Singapore Airlines revenue and profit for the 2024-25 year have also improved. However, its profit has increased only because of a non-accounting cash gain resulting from the Merger with Air India-Vistara. As a result, Singapore Airlines has to make sure that it improves in future by increasing the profit resulting from the provision of its services. We have to wait to see how this progresses.
Overall Singapore Airlines’ end of year performance was profitable but the airline needs to take steps to improve profit gained from the performance of its services. Let us know what you think below!
