Growing non-aviation revenue streams will be key for Sats in near to mid-term

AS THE pandemic brought the travel industry to a screeching halt in H1 2020, the International Air Transport Association (Iata) was hopeful that international travel would start picking up again by the second half of the year.

But with the recovery proving slower than anticipated, ground-handler and caterer Sats Ltd will need to focus on growing its non-aviation businesses in the near to mid-term.

For the three months ended June 30, 2020, Sats sank into the red with a net loss of S$43.7 million, versus a net profit of S$54.7 million a year ago, weighed down by meagre aviation volumes and the losses from its associates in India and China.