Freightos posts poor Q3 results, but this may be the least of its troubles
Freightos has released fairly underwhelming results for its third quarter, as it continues to find ...
© Gordon Tipene
By Alex Lennane
Singapore Airlines Cargo boosted the group’s overall results, with third-quarter volumes rising 6.6% to give it an operating profit of S$53m (US$37.4m), on revenue up S$8m, or 1.5%.
Yields, however, stayed under pressure, declining 5.2%. Operating profit for SIA Cargo for the nine-month period to December 2016 was S$8m, compared with a loss of S$10m the year before. Expenditure fell S$43m, mostly due to lower fuel costs. Capacity rose 5.1%.
SIA Cargo has been unprofitable for seven of the past eight years. The carrier is due to cut its 747-400 freight fleet to seven by the end of this quarter, but has decided not to reduce it further for reasons of scale and efficiency. It may replace part of the fleet, and will decide in the coming years. At its peak, in 2007, SIA Cargo operated 16 747-400Fs.
Overall, SIA Group saw operating profit rise by 1.7% year-on-year to S$293m.
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