Singapore Airlines reports declining passenger numbers

Courtesy Singapore Airlines

Courtesy Singapore Airlines

Singapore Airlines (SIA) carried 1.51 million passengers in September – lower than both last year’s 1.57 million and last month’s 1.61 million passengers. Consequently passenger load factor was down 2.1 percentage points from last year’s 80.8 per cent to 78.7 per cent. Rival Cathay Pacific may take some comfort there that the downward trend was not a unique phenomenon when it reported its own lacklustre performance recently.

Except for East Asia which retained a flat performance, all sectors reported declining passenger laod factors, worst of all for Europe (down 4,8 percentage points) followed by South West Pacific (down 2.7 percentage points). The weaker demand for Europe may be attributed to the uncertainty of the region’s economic and geopolitical situation, but noteworthy is the performance of South West Pacific when Qantas was bucking the trend with record profits. As recognized by SIA in its statement, “the landscape remains challenging.” Competition is a given; the real poser is whether rival airlines are closing the gaps.

The good news, however, is that except for the beleaguered budget carrier Tigerair, the other two subsidiaries within the SIA Group – SilkAir and Scoot – carried more passengers although the passenger load factor also fell. Both airlines carried less than their capacity growth, but it looks like the region closer home is where the business is thriving best for now. Looking farther down the line, the high point would be the performance of SIA’s non-stop services to the US.

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About Dingzi
Writer by passion, with professional expertise in aviation, customer service and creative writing. Aviation veteran, author, editor and management consultant. Besides commentary on business issues and life-interest topics, travel stories and book reviews, genres include fiction, poetry and plays. Nature lover who abhors cruelty of any form to animals, and a tireless traveler. Above all, a dreamer.

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