Air China shares dip on 32% profit drop

[HONG KONG] Air China shares fell in Hong Kong yesterday after the Chinese flag-carrier reported a 32 per cent drop in net profit last year, hit by a weak cargo market.

Net profit for 2013 came to 3.32 billion yuan (S$677 million), down from 4.91 billion yuan the previous year, the airline said in a statement filed late on Tuesday with the Hong Kong Stock Exchange.

The company blamed the decline on the struggling world economy, intensified competition and a weak cargo market in a year that also saw revenue decrease by 2.2 per cent to 97.63 billion yuan.