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τίτλος : Chinese airlines made 5 billion domestic trips marking the highest record
Σύνδεσμος : Chinese airlines made 5 billion domestic trips marking the highest record

Chinese airlines made 5 billion domestic trips marking the highest record

The three Chinese largest airlines operating worldwide has reported their strongest profit with the highest mark of 5 millions domestic trips as the travel demand is soaring along with the foreign exchange gains.

The China Southern Airlines (600029.SS) (1055.HK), the country’s largest carrier by passenger numbers, will report net income on Monday of about 6.4 billion yuan ($1.01 billion), which is its highest in 11 years as a listed firm.

Air China is also expected to report its biggest profit since 2010, and China Eastern Airlines Corp Ltd (600115.SS) (0670.HK) is estimated to book its best result since at least 1996.

The driving profit is a tourism boom which saw more than 5 billion domestic trips made last year, 12.8 percent over 2016.

The aviation industry pushes its plus 129 million overseas trips, which is up 5.7 percent. The foreign exchange gains are also likely to add “a few billion yuan” to each carrier’s earnings. The yuan CNY=CFXS has risen about 10 percent in value against the U.S. dollar since the start of 2017.

The profit rate at which the airlines have bought planes and opened less-profitable international routes has outpaced passenger growth, impacting returns.

China Southern also reported a passenger yield of 0.50 yuan per revenue passenger kilometer in 2016, from 0.67 yuan in 2011. These three airline companies in China had a combined fleet of owned and leased aircraft of 1,924 planes, from 1,868 at the same time a year earlier. The international routes opened last year include Guangzhou-Vientiane and Shanghai-Cebu.

Tags: 5 billion domestic trips, china eastern airlines corp ltd, china southern airlines, Guangzhou, highest record

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