China’s three largest state-owned airlines reported total loss of 12.6 bn yuan in first half 
COMPANY NEWS DATA
China’s three largest state-owned airlines reported total loss of 12.6 bn yuan in first half 
COMPANY NEWS DATA

China’s three largest state-owned airlines reported total loss of 12.6 bn yuan in first half 

 

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China’s three largest state-owned airlines lost total 12.6 billion yuan in first half of the year due to slower-than-expected recovery of international travel, the depreciation of the Chinese yuan against the greenback and the soaring price of aviation fuel all held back airlines’ growth. That narrowed significantly from the loss of 49.7 billion yuan in the same period in 2022.

The country’s flagship carrier Air China reported a loss of 3.5 billion yuan for the first half of the year, though it narrowed by 80% from a year earlier. China Southern Airlines reduced its losses by 75% year over year to 2.9 billion yuan in the first half and China Eastern Airlines cut its losses by 67% to 6.2 billion yuan, according to their recently released earnings report.

Two private airlines – Spring Airlines and Juneyao Airlines – swung to a profit of 838 million yuan and 62.4 million yuan, respectively.

The average air ticket price in China surged 30.6% year over year in the first quarter and rose 13.6% higher than the same period in 2019 and most airlines kept their prices high in the second quarter, catering to business class passengers at the expense of ordinary travelers who turned to high-speed rail, according to data from the China Air Transport Association.