Singapore Airlines Group (SIA) posted a resilient operating profit of $405 million for Q1 FY2025/26, despite macroeconomic headwinds and rising costs.
Total revenue rose 1.5% year-on-year to $4.79 billion, buoyed by record passenger volumes of 10.3 million across Singapore Airlines and Scoot.
However, operating profit fell 13.8%, and net profit plunged 58.8% to $186 million, largely due to lower interest income and losses from associates, including its stake in Air India.
“In addition to the lower operating profit, the reduction in net profit was largely attributable to a lower interest income on the back of lower cash balances and interest rate cuts, and the Group recording a share of losses of associated companies compared to a share of profits for the same quarter last year,” SIA said in its earnings statement.
The SIA stock dropped more than 8% and logged its biggest intra-day decline since August 2024.

Passenger yields declined amid industry-wide capacity growth, while non-fuel costs surged 8.5% due to inflation and expanded operations.
The Group’s balance sheet remains robust, with shareholder equity rising to $15.8 billion and total debt reduced by $1.4 billion, improving its debt-equity ratio to 0.73.
Cash reserves dipped to $7.8 billion following capital expenditures and debt repayments.
Fleet expansion continued with Scoot adding three aircraft and launching new routes to Iloilo City and Vienna, bringing the total operating fleet to 204 aircraft with an average age of 7 years and 9 months.
The passenger network now spans 129 destinations across 37 countries, reinforcing SIA’s global footprint.
Strategic initiatives underscore the Group’s commitment to sustainability and regional connectivity. Agreements with Neste and World Energy will reduce carbon emissions by over 9,500 tonnes through Sustainable Aviation Fuel (SAF) adoption.
A proposed joint venture with Malaysia Airlines received conditional approval in Singapore and aims to enhance tourism and flight options across Southeast Asia.
Additionally, a partnership with Mandai Wildlife Group will offer curated wildlife experiences to SIA customers, aligning with Singapore’s broader tourism strategy.
Looking ahead, SIA anticipates healthy travel demand in Q2, supported by its agile response to market dynamics and long-term focus on service excellence and cost discipline.
At the time of writing, Singapore Airlines ADR (FRA: SIA) stock was trading at €9.30. It has a market cap of around $21.37 billion. Singapore Airlines Ltd (SGX: C6L) was trading at $7.04.
All monetary figures are in Singapore Dollars unless otherwise stated.