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SIA Q3 profit down nearly 36 per cent
SINGAPORE AIRLINES (SIA) reported a near 36 per cent year on year drop in net profit to S$177.2 million for the third quarter ended Dec 31, 2016.
During the quarter, the group recognised a S$79 million write-down of the Tigerair brand and trademark, as part of plans to fold Tiger Airways under the Scoot brand from the second half of 2017. In addition there was an absence of a gain from SilkAir's sale and leaseback of four B737-800s reported last year. This was partially offset by a S$30 million reduction in tax expenses.
However, operating profit rose from S$288 million previously to S$292.9 million, thanks in part to cheaper fuel.
Revenue edged down about 2.5 per cent to S$3.84 billion due to lower passenger flown revenue in a weak-yield environment, while earnings per share fell to 15 Singapore cents, down from 23.6 cents a year ago.