Singapore Airlines (SIA) Group has reported a net loss of $76m for the first quarter of FY2026/27, primarily due to a significant rise in fuel costs. Despite achieving a record revenue of $5,714m, a 19.3% increase from the previous year, the group’s operating profit fell by $299m to $106m. This decline was largely driven by a $991m surge in net fuel costs, attributed to the ongoing Middle East conflict.
The group’s passenger revenue increased by 18.6% to $4,582m, with SIA and Scoot carrying a record 10.9 million passengers. However, the passenger load factor slightly decreased to 87.1% as capacity expansion outpaced traffic growth. Cargo revenue also saw a boost, rising by 33.5% to $708m due to improved yields and load factors.
SIA’s robust balance sheet, with cash reserves of $10.48b, supports its operational agility. The group has also expanded its fleet and network, adding new routes and increasing frequencies to destinations such as London and Manchester. However, services to certain Middle Eastern destinations have been suspended due to regional conflicts.
The group’s strategic stake in Air India remains a key focus, with efforts to enhance network connectivity and expand partnerships. Despite the current challenges, SIA is committed to long-term investments and strategic growth, aiming to strengthen its market position and customer offerings.
