China Southern Airlines has said its first-half net profit dropped 95.3% from a year earlier due to the global swine flu outbreak and tougher competition. According to a statement filed with the Shanghai Stock Exchange, China’s biggest carrier by fleet size posted a net profit of US$5.6 million dollars in the period, sharply down from $118.4 million a year earlier.
Revenue fell 9.2% from the same period last year to $3.6 billion, with passenger revenue, the bulk of the total, down 7.7% at 23.1 billion.
Cargo News Asia said its total operating expenses decreased by 12.6% from the same period last year to $3.3 billion, primarily due to a 36% drop in fuel costs.