Friday, 2 November 2018

Air China announces its latest results

Air China Limited announced its financial results for the first three quarters of 2018

During the first three quarters of 2018, China's economy maintained stable growth with continuous improvement. Especially benefitting from the strong demand in the summer holiday, the domestic passenger traffic grew steadily and enthusiasm for outbound travel remained high. Despite the reduced net profit as a result of the rising oil prices and depreciation of Renminbi against US dollars, the Air China still maintained a leading an advantage in the industry in terms of total revenue and traffic revenue. During the reporting the period, the Group recorded the revenue from operations of RMB102.880 billion, representing an increase of 12.09%. The total operating costs was RMB96.633 billion, representing an increase of 19.51%. The net profit attributable to shareholders decreased by 16.20% to RMB6.937 billion from RMB8.279 billion in 2017.

During the Period, the Group's passenger capacity, measured by Available Seat Kilometers (ASK), increased by 11.32% to 204.073 billion. Capacity for domestic, international and regional routes rose by 8.75%, 15.80% and 8.55% year-on-year respectively. Overall passenger traffic, measured by Revenue Passenger Kilometers (RPK), increased by 10.88% to 165.084 billion compared with that of 2017. Traffic on domestic, international and regional routes increased by 8.41%, 14.91% and 13.43% year-on-year respectively. Passenger load factor slightly decreased by 0.32 percentage points to 80.89%.

During the Period, the Available Freight Tonne Kilometers (AFTK) increased by 8.07% year-on-year to 10.483 billion, while the Revenue Freight Tonne Kilometers (RFTK) increased by 7.11% year-on-year to 5.877 billion. The cargo and mail load factor decreased by 0.51 percentage points to 56.06%.

Air China Limited is the national flag carrier of China and a leading provider of passenger, air cargo and airline-related services and products in China. Its operational headquarters is in Beijing, a major domestic and international hub in China. It also provides airline-related services, including aircraft maintenance, ground handling services in Beijing, Chengdu, and other locations. As of June 30, 2018, the Group operated a fleet of 662 aircraft with an average age of 6.74 years, while the Company operated a fleet of 397 aircraft with an average age of 6.76 years. The Company's passenger routes have expanded to 434 in total, across six continents of the world, comprising 308 domestic, 109 international and 17 regional routes. The Company's network covered 42 countries and regions and 189 cities, including 69 international, 4 regional and 116 domestic cities.