- Singapore Airlines Group reported a 57.4% net profit decline to SGD 1.184 billion in FY 2026
- The drop was mainly due to no one-off gain from the Vistara-Air India merger and Air India's losses
- Total revenues increased 5% to SGD 20.552 billion in 2025-26 from SGD 19.540 billion last year
Singapore Airlines Group on Thursday reported a 57.4 per cent decline in net profit at SGD 1.184 billion in the fiscal year ended March 2026, mainly due to the absence of a prior-year one-off accounting gain related to the Vistara merger, and Air India losses.
In 2024-25, Singapore Airlines (SIA) Group raked in a net profit of 2.778 billion Singapore Dollars (SGD).
SIA Group said it was committed to its 25.1 per cent investment in the Air India Group, which is a core component of its long-term multi-hub strategy.
"This strategic investment provides the Group with a direct stake in one of the world's largest and fastest-growing aviation markets, complementing its Singapore hub and strengthening its long-term growth," it said in a release.
SIA Group's net profit declined by SGD 1.594 billion or 57.4 per cent to SGD 1.184 billion, primarily due to the absence of the SGD 1.098 billion non-cash accounting gain recognised in November 2024 upon the completion of the Air India-Vistara merger.
"The swing from a share of profits of associated companies last year to a loss this year (SGD 846 million) was due to the Group accounting for its share of Air India's full year losses, versus only four months the previous year," the release said.
Specific details about the loss incurred by Air India were not disclosed.
Vistara was a full-service airline, jointly owned by Singapore Airlines and the Tatas. In November 2024, the carrier was merged with Air India as part of the Tata Group's consolidation of its airline business.
Meanwhile, SIA Group's total revenues climbed 5 per cent to SGD 20.552 billion in 2025-26 from SGD 19.540 billion in the year-ago period.
Air India is facing financial headwinds due to airspace curbs and a surge in jet fuel prices that has forced the carrier to curtail international flights.
"SIA is working closely with its partner Tata Sons to support Air India's multi-year transformation programme.
"Air India faces headwinds such as industry-wide supply chain constraints, airspace restrictions, constraints on operations to its key Middle East markets, and elevated jet fuel prices," the release said.
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Nonetheless, SIA said Air India continues to make progress in its fleet renewal and aircraft retrofit program, initiatives to elevate the end-to-end customer experience, and improve its operational performance.
"Net profit declined due to the absence of a prior year one-off accounting gain, coupled with the share of full year losses from Air India," the release said.
In the 2025-26 financial year, Air India Group, comprising Air India and Air India Express, is projected to have incurred more than Rs 22,000 crore loss.
On Wednesday, Air India announced it would cut nearly 100 overseas flights and temporarily suspend services on seven routes, including Delhi-Chicago, that will result in up to 27 per cent reduction in the loss-making airline's international capacity as it grapples with mounting operational costs due to airspace curbs and high jet fuel prices.
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