tag

Singapore Airlines has just posted its first quarterly loss since the pandemic. It also carried more passengers than in any quarter in its history. Both statements are true, and together they explain a great deal about the state of the industry.For the three months to June 30, the SIA Group reported a net loss of $59mn, against a profit of $137mn in the same quarter a year earlier. That represents a swing of about $196mn in twelve months. The headline figure is modest for a group of this size, but the reasons behind it carry a wider significance for the sector.Singapore Airlines is a carrier the rest of the industry measures itself against, with a product, network discipline and balance sheet that are studied across the business, so a rare quarterly loss is worth examining in detail.The result did not stem from any weakness in the underlying business. Group revenue rose 19.3% to a record $4.42bn. Passenger revenue climbed 18.6% as yields rose 12%, and Singapore Airlines and Scoot together carried a record 10.9mn passengers, up 6.3% on the same quarter last year. This is the important point. The airline has never flown more people in a single quarter than it did in these three months, and it still finished in the red. Cargo, which has been a drag on earnings in recent years, produced the standout performance, with revenue up 33.5% to around $547mn on stronger yields and higher load factors.On nearly every measure by which an airline is judged, this was a record quarter. More passengers than ever before. Higher yields. A stronger cargo book. The group still lost money.The explanation lies in the one major cost line that no airline fully controls. The group's net fuel bill rose 78.5% to around $1.74bn, an increase of close to four-fifths in a single quarter, and that increase accounts for the entire result. Total expenditure grew 27.9%, well ahead of the 19.3% rise in revenue. Operating profit fell 73.8% to around $82mn. The distance between record revenue and a loss-making bottom line is almost exactly the shape of the fuel line.For readers in the Gulf, the cause requires little explanation. The spike traces directly to the deterioration in the regional security environment and the continuing US campaign against Iran, which has turned the airspace over the Gulf and the corridor around the Strait of Hormuz into a zone of heightened risk. When the world's most important oil corridor becomes contested, the jet fuel price responds immediately and does not wait for calm to return. Airlines everywhere absorb the cost.There is a second effect at work, and it is the one that shows up directly in Singapore's passenger record. As the conflict has escalated, millions of travellers have quietly rerouted away from the Gulf. Journeys that would once have connected through Dubai, Doha or the wider region are increasingly being routed through Asia instead. Singapore has been a natural beneficiary of that shift. Passengers who want to avoid the region altogether can fly Europe to Southeast Asia and onward to Australia or North Asia through Changi, giving the Gulf a wide berth. That is a meaningful part of why Singapore Airlines carried more passengers than ever before this quarter. The war has redrawn the map of how people move between continents, and for now the traffic is flowing east of the trouble.Singapore has felt the disruption directly on its own network. Its Dubai services remain suspended, its planned launch of Riyadh flights has been deferred to December, and Scoot suspended its Jeddah operation in July following the latest escalation. The same instability that is redirecting passengers toward Asia is also closing routes into the Gulf, and it is lengthening others. Airspace closures across parts of the region have forced longer routings, and longer routings burn more of the fuel that has itself become more expensive. Record passenger numbers and a fuel-driven loss are two sides of the same geopolitical event.This is where the result becomes relevant well beyond Changi. Singapore Airlines is not an outlier but a preview. If the best-run long-haul carrier in the world cannot hold profitability through a fuel shock of this scale even while flying record traffic, weaker balance sheets across the industry will feel it far harder. The airlines that entered this period with thin margins, heavy debt or limited hedging have far less protection, and some will report losses considerably more serious than this one.A second element of the result points to a longer game. Singapore Airlines recorded a $32mn increase in its share of losses from Air India, in which it holds a 25.1% stake. Tata Sons, Air India's owner, has now been explicit about the timeline, with its chairman framing the turnaround as a journey of five to ten years, citing supply chain constraints, legacy systems and the scale of the fleet and cultural overhaul required. Air India is central to Singapore Airlines' multi-hub strategy, a bet that the carrier can build a second major connecting position in India alongside its Singapore base. The logic is sound, given that India is the fastest-growing large aviation market in the world, but the execution will take a decade of patience and capital and in the near term shows up as a drag on group earnings.The result should not be read as a signal that Singapore Airlines is in trouble, because it is not. Demand is at record levels, cargo is performing, the balance sheet is among the strongest in the industry with more than $8bn in cash and deposits, and the company retains the flexibility to absorb a quarter like this without strain. The loss is a symptom of the environment rather than the airline.The more important point is what that environment now demands. Geopolitical risk has moved from the margins of an airline's cost base to its centre, and fuel is once again the variable that decides whether a record operational quarter becomes a profitable one. Singapore Airlines itself has cautioned that a prolonged conflict in the Middle East would disrupt supply chains, global trade and the wider macroeconomic conditions on which air travel depends.The Gulf carriers understand this terrain better than most, operating at the centre of it and building resilience into their networks, their hedging and their cost structures precisely because they know how quickly the regional picture can shift. The lesson from Singapore's quarter is not that strong airlines are suddenly fragile, but that in the current climate even a record number of passengers is no guarantee of a profit. A carrier flew more people than ever before and still lost money, undone by a cost it could neither predict nor avoid. For an industry that has spent three years rebuilding its finances, it is a reminder of how exposed it remains to events far from their home airport hubs. The author is an aviation analyst. X handle: @AlexInAir.

Her Excellency Undersecretary of the Ministry of Labour Sheikha Najwa bint Abdulrahman Al-Thani met today with Permanent Secretary at the Ministry of Manpower of the Republic of Singapore Stanley Loh.The meeting explored ways to strengthen bilateral cooperation in the areas of labour market policy development, skills development and workforce training, and social protection, as well as means of further supporting and expanding cooperation.In her remarks during the meeting, HE Sheikha Najwa bint Abdulrahman Al-Thani said that the State of Qatar attaches great importance to developing its labour system through the continuous modernization of legislation and policies, improving the working environment, strengthening the protection of workers' rights, investing in vocational training and professional development, and enhancing the efficiency and skills of the workforce in line with labour market developments and requirements.Her Excellency affirmed that the meeting represents an important platform for strengthening dialogue, exchanging expertise, and benefiting from successful experiences in developing labour market policies and enhancing human capital capabilities.Her Excellency also commended the Republic of Singapore's leading experience in the fields of occupational safety and health, social protection systems, skills development, and aligning education and training outcomes with labour market needs. She expressed the State of Qatar's aspiration to expand cooperation and exchange best practices between the two sides.Her Excellency further emphasised the importance of the official visit and the accompanying technical meetings in strengthening communication between the relevant authorities and opening new avenues for partnership and the exchange of knowledge and expertise in support of the shared interests of both countries. 

Asian airlines ‌that gained passengers and charged higher fares on European routes after the start of the Iran conflict ​are seeing those advantages erode as Gulf ‌carriers restore flights and offer lower ticket prices, industry data shows.The shift has been gradual, ‌but it is raising ⁠doubts over whether carriers including ‌Singapore Airlines, Cathay Pacific Airways, Korean Air Lines and ‌ANA Holdings can retain much of the market share they gained during the disruption."It is clear that we have ⁠passed the peak of the load factor gains for the Asian carriers," said Nathan Gee, head of Asia-Pacific transportation research at BofA Global Research, referring to an industry term for the percentage of seats filled. "But long-haul bookings tend to be on a six-month window, suggesting the strongest contribution to flown revenues will be seen in the upcoming quarters."Emirates, Qatar Airways and Etihad Airways carried nearly one-third of passengers from Asia to Europe and more than half of those from Australia and New Zealand to Europe before the conflict, according to Cirium data. At the ​start of the Iran war on February 28, their Gulf hub airports were closed due to drone and missile attacks, but by mid-June the airlines' flights had returned to around 90% of normal levels, Flightradar24 data shows.Between March and May, Middle Eastern ‌carriers improved from a nearly 60% drop ⁠in passenger numbers from ​a year earlier to a 28% decline, according to International Air Transport Association data. And while non-stop ​traffic from Asia to Europe was up nearly 30% year-on-year in March, by May the gain had narrowed to 15%.In June, Australia lifted a "do not travel" warning that had voided travellers' insurance policies at Gulf hubs.Some travellers with pre-war bookings on Gulf carriers had bought refundable backup flights to Europe on Asian airlines as they assessed the security situation, said Michael Schischka, a senior adviser at Mary Rossi Travel in Sydney who specialises in luxury European trips."Not all clients, but I'd say the majority are now feeling more comfortable and safe and secure in flying through the Middle East," he said. "A lot of the Asian flights ‌were very full and the cheaper fares weren't ‌available. So that's driven people back to looking ⁠at the Middle East airlines again as well."A Korean Air spokesperson said it had experienced a year-on-year increase in load ⁠factors on its European routes between March and ⁠May, but transfer traffic demand had softened as Gulf carriers resumed operations over the course of the second quarter.ANA, which has yet to report May data, said its load factor on European flights had slipped from 93.1% in March to 86.9% in April, though it was still up 8.7 percentage points year-on-year. Cathay Pacific reported the load factor across its network was up 2 percentage points in May to 86.8% from a year earlier, whereas in March the gain was ​9.5 points to 92.2%.Independent aviation analyst Brendan Sobie said the data pointed to a gradual rather than sudden rebalancing, with Singapore Airlines' trajectory also illustrating the trend clearly.The airline's Europe load factor surged 13.8 percentage points in March, but the gains narrowed sharply to 4.9 points in April and just 1.1 points in May."In May the load factors for both Europe and Australia normalised," Sobie said. "They had a big uptick in March, a smaller uptick in April and in May even smaller. To me it's more gradual, not overnight."Cherie Lavin, a travel agent at Travel My Dear in Brisbane, said her clients looking to fly in the next one to three months remained hesitant about ‌booking with Middle Eastern carriers."But ​I think for next year there's no qualms in quoting it," she said. "And it's being received well." 

His Excellency Deputy Prime Minister and Minister of State for Defense Affairs, Sheikh Saoud bin Abdulrahman bin Hassan Al-Thani, visited on Sunday the Singaporean ST Engineering group.During his visit, His Excellency met with Chairman of ST Engineering, Teo Ming Kian, on the sidelines of the Shangri-La Dialogue 2026, held in the Republic of Singapore.His Excellency also visited ST Engineering's armored infantry vehicle factory 8x8.HE Ambassador Extraordinary and Plenipotentiary of the State of Qatar to the Republic of Singapore, Abdulaziz bin Ahmed Al Malki Al Jehani, attended the meeting, alongside several senior officers and a number of senior officials from Singapore's ST Engineering. 

Singapore has flatly rejected any suggestion it would pay transit fees to Iran for passage through the Strait of Hormuz, with Foreign Minister Vivian Balakrishnan telling parliament the right of free navigation is enshrined in international law — not a toll concession for Tehran to extract. Responding to a parliamentary question, Balakrishnan said Singapore would continue engaging Iran diplomatically but ruled out any negotiation over safe passage fees. "It is not a privilege to be granted by the bordering state, it's not a licence to be supplicated for, it is not a toll to be paid," he said. The remarks come as Iran has imposed what shipping sources describe as a de facto toll system — administered by the Iranian Revolutionary Guard Corps — in the wake of US and Israeli strikes on Iranian infrastructure. Reports suggest demands of up to $2mn per vessel, payable in cryptocurrency or yuan, ostensibly to fund reconstruction. Traffic through the strait plummeted by an estimated 90% during peak hostilities, with only partial recovery following a tentative ceasefire. Tehran, which signed but never ratified the UN Convention on the Law of the Sea (UNCLOS), maintains it is not bound by its transit passage provisions and retains the right to regulate movement through its territorial waters on security grounds. Balakrishnan dismissed that argument, saying non-ratification was not a "get-out-of-jail-free card" and that the principle of free transit applied universally as customary international law. Singapore's hard line is rooted as much in strategic interest as legal principle. Balakrishnan drew an explicit parallel with the Strait of Malacca and the Strait of Singapore — chokepoints that carry roughly a quarter to two-fifths of global seaborne trade, including nearly half of China's oil imports. Were Hormuz tolls to go unchallenged, he warned, similar demands could follow on the very waterways Singapore depends on for its economic existence. The shipping industry has broadly backed Singapore's stance, with insurers and major operators advised against payment to avoid legitimising the practice. A clip of Balakrishnan's remarks, posted to social media on April 11, drew more than 3mn views and sharp debate over the tension between legal norms and geopolitical realities.

His Excellency Saad bin Sherida al-Kaabi, the Minister of State for Energy Affairs, Tuesday met with Dr Tan See Leng, the Minister of Manpower and Minister in charge of Energy of Singapore. Discussions, which were held virtually, dealt with the impact of the ongoing regional conflict on the global energy industry and ways to ensure the security of energy supplies. HE Al-Kaabi reaffirmed Qatar’s commitment to remaining a reliable energy supplier and looked forward to continuing and strengthening energy relations and cooperation with Singapore. 

Defending champion Joaquin Niemann shot a 66 to surge into a third-round tie for the lead at LIV Golf Singapore Saturday. The Chilean mixed seven birdies and two bogeys to ‌tie Lee Westwood of England atop the leaderboard at ​10-under-par 203 for the ‌tournament, one stroke ahead of second-round leader Bryson DeChambeau and ‌Richard Lee of Canada. Westwood ‌made birdies on three of ‌the final four holes to finish with a 68 at the Sentosa Golf Club, which played tougher than it did in the first two rounds. “I would say it’s a major championship-style golf course. It’s very demanding,” Westwood said. “Even though the rough isn’t that thick, it asks you to hit a lot of fairways, and it’s difficult to score from the rough. You don’t have as much ​control on the golf ball.” Niemann agreed about the challenge the course presents. “I’ve been hitting the ball really good. I think that’s the key,” Niemann said. “It’s ‌a really stressful golf course, I’ll say. ​There’s a lot of danger off the tee, a lot ​of water on second shots. One way or the other, I feel like I’ve been kind of like stress-free after I hit the shot. Once I get on the tee, there’s some pressure there, and then once I hit the ball, it goes right where I’m seeing with my eyes, so it feels satisfying.” DeChambeau followed his second-round 65 with a one-over 72, but he wasn’t dismayed despite bogeys at holes 8, 10 ‌and 12. “I played really ‌well. The greens on 8, 9, 10, 11 got really slow,” he said. “For some reason, there wasn’t as much wind around there and I guess the greens got slower in that area and I three-putted a few of them and that cost me some momentum. Other than that, I played great golf. I almost played just as good as yesterday, just things didn’t line up.” Lee, a ​LIV Golf wild card, birdied the final hole to record a 69 and tie DeChambeau. Spain’s Jon Rahm shot an even-par 71 to stay within striking distance of the leaders, three strokes off the pace. Marc Leishman of Australia (71) stands alone in sixth place at 6-under par. In the team competition, 4Aces are atop the leaderboard. Captain Dustin Johnson’s round of 68 sent the team to 16-under, two shots ‌ahead of Ripper ​GC and Legion XIII, and put Johnson in a tie for seventh place with six others at 5-under. 

His Excellency the Prime Minister and Minister of Foreign Affairs Sheikh Mohammed bin Abdulrahman bin Jassim al-Thani sent a written message to Prime Minister of Singapore Lawrence Wong, pertaining to bilateral relations and ways to support and develop them. The message was handed over by ambassador of the State of Qatar to the Republic of Singapore Abdulaziz bin Ahmed al-Malki during his meeting with Minister of Foreign Affairs of the Republic of Singapore Dr Vivian Balakrishnan. 

Russell wins from pole for MercedesVerstappen second to cut gap to Piastri in title raceMcLarens clash on first corner but win constructors' titleGeorge Russell drove a flawless race from pole position to win the Singapore Grand Prix for Mercedes Sunday, leaving Red Bull's world champion Max Verstappen and the two McLarens to fight it out for the other podium spots.Briton Russell took the chequered flag under the lights of the Marina Bay street circuit 5.4 seconds clear of Verstappen to claim his second victory of the season."It feels amazing," said Russell. "We don't really know where this performance came from, but really, really happy."I was really nervous at the beginning when I saw Max on the soft (tyres), but that first stint was great from us."Lando Norris put pressure on Verstappen towards the end of the race but had to settle for third ahead of teammate Oscar Piastri, the pair earning enough points to seal a second consecutive constructors' title for McLaren."It was a tough race," said Norris. "Max didn't make any mistakes. I gave it my all today, and got close."I'm happy with today. I got forward two positions. We won as a team, the constructors' once again."Piastri's lead over Briton Norris in the drivers' standings was cut to 22 points, while Verstappen is 63 points behind the Australian with six races remaining in the season."I think second was the maximum result today," said Verstappen."I think the whole race was quite difficult, more difficult than I hope for, for a lot of different reasons."The celebrations for the constructors' title in the McLaren garage might be muted, however, with Piastri fuming at the way Norris forced his way past his teammate on the opening corner.Kimi Antonelli was a distant fifth in the other Mercedes with Charles Leclerc finishing sixth ahead of his Ferrari teammate Lewis Hamilton.Hamilton was later docked a five-second penalty for repeatedly leaving the track as he struggled with a braking issue, dropping him to eighth with Aston Martin's Fernando Alonso moving up to seventh.Haas driver Oliver Bearman was ninth and Carlos Sainz, who started at the back of the grid after the Williams cars were disqualified from qualifying, took the final points in 10th.Russell got away to a clean start from pole with Verstappen behind him but Norris, who started fifth, clipped the back of the Dutchman's Red Bull as he forced his way up the inside of Piastri on the first corner.Norris sustained some damage to the front end of his car and Piastri expressed his discontent on the team radio at his teammate's manoeuvre, accusing the Briton of "barging him out of the way". "It's racing, I put it on the inside, I had a small correction, but nothing more than that, it was good racing," Norris said.The stewards gave the incident the all-clear and McLaren said they would look at it after the race with Piastri again railing at what he said was the unfairness of the decision."I thought that in the moment, obviously first lap, tensions are high," said Piastri. "We're obviously encouraged to share our views on what happened, and I did that, and I'm sure we'll discuss it more."Verstappen was the first of the leaders to pit and tore around the track to ensure Norris would not be able to undercut him when the Briton changed his tyres seven laps later.Norris asserted his right as McLaren's lead driver to pit ahead of Piastri, whose discontent with the team would not have been improved by a notably slower stop than his teammate.Verstappen was 3.5 seconds behind Russell at the halfway stage and ended the race clinging on to keep second place from Norris rather than chasing a third straight race win.

Singapore said on Monday it will impose targeted sanctions on leaders of Israeli settler groups and would recognise a Palestine state under the right conditions.Western and other nations have been taking an increasingly hard line against settler groups and some Israeli officials they accuse of fomenting violence, while global recognition is growing of Palestinians' aspiration for an independent homeland.Singapore's Foreign Minister Vivian Balakrishnan, speaking in parliament, chided those Israeli politicians who have spoken about annexing parts of the West Bank or Gaza, the two Israeli-occupied Palestinian territories."We call on the Israeli government to cease settlement construction and expansion," he said, citing the so-called E1 settlement project as fragmenting the West Bank."We oppose ongoing attempts to create new facts on the ground which undermine the prospects for a two-state solution."More details on the sanctions would be released at a later date, he said.Balakrishnan said it was a matter of when not if Singapore recognises a Palestinian state and that the nation is waiting for an "appropriate constellation" of factors, including a need for an effective Palestinian government that accepts Israel's right to exist and categorically renounces terrorism."Ultimately, to resolve this long-standing conflict in a comprehensive, just and durable manner, there needs to be a negotiated settlement which results in two states, one Israeli (and) one Palestinian, with their peoples living alongside each other in peace, security and dignity," he added.Most of the international community considers Israeli settlements in the West Bank illegal under international law. Israel disputes this, citing historical and biblical ties to the area and saying the settlements provide security.While Singapore and Israel have shared close diplomatic and military ties since the former gained independence in 1965, the city-state in 2024 voted in favour of numerous resolutions expressing support for U.N. recognition of a Palestinian state.

QNB Singapore has announced successful participation as a ‘Gold Sponsor’ at the recently concluded GTR Asia 2025 event held in Singapore.This year's gathering proved to be a “remarkable platform” for trade and finance professionals, featuring engaging formats that maximised audience participation and dialogue.Throughout the event, attendees engaged with a variety of highlights, including the dynamic Trade Showcase hosted by GTR Ventures, which highlighted innovative solutions and emerging trends in trade finance.The new boardroom scenario session focused on global trade security provided essential insights into pressing industry challenges, while in-depth discussions, fireside chats, and interactive presentations enriched the experience for all participants.A key feature of the event was the ‘Asia Bank to Bank Forum’, hosted by the Bankers Association for Finance and Trade (BAFT), where leading discussions on banking and finance addressed the unique opportunities and challenges faced in today's economic landscape.“As a Gold Sponsor, QNB Singapore was proud to be part of such a vital event that brings together a diverse range of stakeholders, from international banks to fintech firms,” said Silas Lee, CEO, QNB Singapore. “The discussions and exchanges at GTR Asia 2025 have provided valuable insights into the evolving trade finance sector, and we are excited to continue fostering these connections within the industry.”The GTR Asia 2025 event serves as a crucial forum for addressing the rapidly changing dynamics of trade finance, equipping professionals with the knowledge and tools necessary to navigate the complexities of the region’s trade operations.

Singapore has pledged to strengthen aviation safety practices around in-flight turbulence after two accidents last year that resulted in one fatality and multiple injuries.Severe turbulence will now be classified as a state-level operational safety risk, alongside runway incursions, mid-air collisions and system failures, the Civil Aviation Authority of Singapore said in its Singapore National Aviation Safety Plan for 2025-2027, released on Wednesday.The report identified 45 actions to bolster safety around operational and emerging risk areas. Of the accidents logged by Singapore in 2024, turbulence ranked as the highest. In an earlier safety plan for 2022-2024, turbulence was mentioned mainly in the context of training and operational awareness, not classified as a priority risk area in its own right.In May last year, one person died and scores of passengers suffered serious injuries when a Singapore Airlines Ltd flight from London to Singapore encountered severe turbulence over Myanmar. In September, one passenger and one cabin crew were injured on a Guangzhou-bound flight that ran into turbulence over Hong Kong. Investors continue to probe the cause of the May accident.In the immediate aftermath of that first incident, airlines worked to implement a variety of measures including drilling flight crews on turbulence-related scenarios and enhancing forecasting and detection systems.Midair instability is becoming a more common hazard for carriers and passengers as rising global air traffic density means more planes flying in crowded skies, often through the same storm systems. Climate change is another factor: warming temperatures at cruising altitudes are strengthening jet streams and creating conditions linked to more frequent episodes of so-called “clear-air turbulence.”Some of the recommendations made by CAAS in its latest safety plan were around enhancing the accuracy of meteorological information, improving advance turbulence forecasting and on-board detection systems, sharing real-time turbulence data globally and adopting wider use of modern weather radar and turbulence awareness applications for pilots.“The recent spate of serious aviation safety incidents around the world is a timely reminder that we must stay vigilant and not take safety for granted,” Han Kok Juan, CAAS director-general, said. “The National Aviation Safety Plan is a call to action for the Singapore aviation sector to work together to ensure aviation safety as we position ourselves for growth.”