Skip to content
Subscriber Only

Singapore Air Rivals Squeeze for Passengers Amid Yield Drop

  • Passenger, cargo yields decline in fourth quarter vs year ago
  • Singapore Air warns of challenging environment, cargo business
Singapore Airlines Ltd. aircraft sit at Changi Airport in Singapore, on Thursday, March 3, 2016. Singapore Air, hurt by competition from opulent Middle Eastern carriers and a rash of budget airlines, is trying to revive its fortunes the way it knows best: wooing flyers with new aircraft. While the new aircraft with its extra-wide cabins and a new entertainment system will set Singapore Air apart from local rivals, it might be too little, too late to turn around its fortunes.
Photographer: Bryan van der Beek/Bloomberg
Updated on

Singapore Airlines Ltd. is fighting to prevent travelers from switching to Emirates Airline, which is offering luxuries like on-board shower, while budget carriers are chipping away at the coach class. The result: The lowest yield from passengers in six years.

Yields, or the revenue earned from a passenger for flying a kilometer, was 10.6 Singapore cents in the year ended March, dropping from 11.2 cents a year earlier. That damped full-year net income to S$804 million ($585 million), or about a quarter of what Emirates racked up in the same period.