Singapore Airlines expects 2023 airfares may decline as rivals add capacity

SINGAPORE Airlines (SIA) expects yields, a proxy for airfares, could decline in 2023 as rival airlines bring back planes idled during the pandemic and add capacity, a senior executive said on Monday.

“We would not expect yields to stay at the same elevated levels we were at in 2022,” SIA executive vice president, Commercial Lee Lik Hsin told analysts and media of the outlook on an earnings call.

The airline on Friday swung to a second-quarter profit and declared its first dividend in three years as international borders reopened and travel demand rebounded strongly in the three months ended on Sept 30. REUTERS