Singapore Airlines (SIA) has reported a net loss of S$76 million for the first quarter ending June 30, 2026, a significant turnaround from the S$186 million profit recorded in the same period last year. This marks the airline's first quarterly loss since the onset of the COVID-19 pandemic. The downturn is primarily attributed to a sharp 78.5% increase in net fuel costs, driven by the Middle East conflict, and a higher share of losses from its 25.1% stake in Air India.
Despite the loss, SIA achieved a record revenue of S$5.7 billion for the quarter, a 19.3% increase from the previous year. This growth was fueled by strong travel demand, with passenger revenue rising 18.6% to S$4.6 billion and cargo revenue increasing by 33.5% to S$708 million. The airline carried 10.9 million passengers during the quarter, a 6.3% year-on-year increase, and passenger yields improved by 12%.
The surge in fuel costs, which more than doubled following the Middle East conflict that began on February 28, significantly impacted operating expenses. Additionally, SIA's share of losses from Air India amounted to S$42 million, further affecting the bottom line. Operating profit declined by 73.8% to S$106 million, and EBITDA decreased to S$702.4 million from S$1,015.1 million in the same quarter last year.
Looking ahead, SIA remains optimistic about the resilience of air travel demand, supported by seasonal flows and strong cargo demand. However, the airline acknowledges the ongoing challenges posed by elevated jet fuel prices due to geopolitical tensions. SIA plans to maintain cost discipline and continue investing in service, product, and network enhancements to navigate these uncertainties.