Virus-hit Singapore Airlines reports biggest annual loss

Virus-hit Singapore Airlines reports biggest annual loss

SINGAPORE: Singapore’s national airline reported yesterday its worst annual net loss of $3.2 billion in the aftermath of the “toughest year in its history” due to the coronavirus pandemic. The airline industry has been hammered hard by recurring waves of infections worldwide which have grounded air travel as governments restrict movement to halt the surges.

Singapore Airlines (SIA) said late Wednesday that it suffered a net loss of Sg$4.3 billion ($3.2 billion) for the financial year ended March 31, widening the previous year’s Sg$212 million net loss. Revenue plunged over 76 percent to Sg$3.8 billion from nearly Sg$16 billion, the carrier said in a filing with the Singapore Exchange, describing the past 12 months as the “toughest year in its history”.

Waves of infections and the emergence of more virulent strains of the virus caused passenger traffic to tumble almost 98 percent, it added. Cargo revenues cushioned the decimation of the passenger business, the carrier said, with vaccine transportation seen as a major boost with the firm well positioned to extend its Asia Pacific jab shipments.

Even though an annual loss was expected, aviation analyst Shukor Yusof of Endau Analytics labelled the results “ghastly”. “They’ve just registered their biggest loss in their history,”