SINGAPORE AIRLINES GROUP SINGAPORE AIRLINES GROUP ANALYSTS / MEDIA BRIEFINGANALYSTS / MEDIA BRIEFING
Half Year and 2Half Year and 2ndnd Quarter FY2008Quarter FY2008--09 RESULTS 09 RESULTS
7 NOVEMBER 20087 NOVEMBER 2008
THE PARENT AIRLINETHE PARENT AIRLINE1H FY20081H FY2008--0909
RESULTSRESULTS
THE PARENT AIRLINE COMPANY THE PARENT AIRLINE COMPANY RESULTS RESULTS –– 1H FY08/09 ($ million)1H FY08/09 ($ million)
36.636.6––781.1781.1495.2495.2Operating ProfitOperating Profit
22.322.3++(5,280.5)(5,280.5)(6,458.8)(6,458.8)Total ExpenditureTotal Expenditure
14.714.7++6,061.6 6,061.6 6,954.06,954.0Total RevenueTotal Revenue
% Change% Change1H/071H/071H/081H/08
THE PARENT AIRLINE COMPANY THE PARENT AIRLINE COMPANY OPERATING PERFORMANCE OPERATING PERFORMANCE –– 1H FY08/091H FY08/09
++
% Change% Change
7.77.7
++ 2.12.1 ptspts70.170.172.272.2Passenger Passenger Breakeven Load Breakeven Load Factor (%)Factor (%)
++ 11.011.08.28.29.19.1Unit Cost Unit Cost ((¢¢/ask)/ask)
11.711.712.612.6Passenger Yield Passenger Yield ((¢¢//pkmpkm))
1H/071H/071H/081H/08
THE PARENT AIRLINE COMPANY THE PARENT AIRLINE COMPANY OPERATING PERFORMANCE OPERATING PERFORMANCE –– 1H FY08/091H FY08/09
––
% Change% Change
2.42.4 ptspts
–– 4.54.5 ptspts10.2 pts10.2 pts5.7 pts5.7 ptsPassenger Load Passenger Load Factor Spread (%)Factor Spread (%)
++ 2.12.1 ptspts70.170.172.272.2Passenger Passenger Breakeven Load Breakeven Load Factor (%)Factor (%)
80.380.377.977.9Passenger Load Passenger Load Factor (%)Factor (%)
1H/071H/071H/081H/08
THE PARENT AIRLINE COMPANY THE PARENT AIRLINE COMPANY OPERATING PERFORMANCE OPERATING PERFORMANCE –– 1H FY08/091H FY08/09
60
64
68
72
76
80
84
1H/04 1H/05 1H/06 1H/07 1H/08
5.1
4.6 10.2 5.7
5.2
Passenger Load Factor
Breakeven Load Factor
(%)
74.3
77.5
80.3
77.9
73.9
69.2
72.9
70.1
72.2
68.7
THE PARENT AIRLINE COMPANY THE PARENT AIRLINE COMPANY COST COMPOSITION COST COMPOSITION –– 1H FY08/091H FY08/09
Fuel44.5%
(+8.1% pts)
AMO6.6%
(-1.2% pts)
Aircraft Depreciation & Rentals
10.1% (+0.1% pt)Staff
12.4%(--4.1% pts)
Airport Handling6.6%
(-0.6% pt)
Others19.8%
(-2.3% pts)
THE PARENT AIRLINE COMPANYTHE PARENT AIRLINE COMPANYFUEL EXPENDITURE FUEL EXPENDITURE –– 1H FY08/091H FY08/09
1,000
1,500
2,000
2,500
3,000
3,500
4,000
1H/07
($ million)
1,910
Volume
Higher volumeuplifted
+146
Price
Higherweighted average
fuel price
+1,569
Exchange
WeakerUS Dollar
-324
1H/08
3,301
+1,391
THE GROUP THE GROUP 1H FY20081H FY2008--0909
RESULTSRESULTS
GROUP REVENUE GROUP REVENUE –– 1H FY08/09 ($ million)1H FY08/09 ($ million)
5,779
6,395
7,0297,589
8,511
3,000
4,000
5,000
6,000
7,000
8,000
9,000
1H/04 1H/05 1H/06 1H/07 1H/08
Group Revenue
12.1%
5-Year CAGR+ 10.2%
($ million)
GROUP EXPENDITURE GROUP EXPENDITURE –– 1H FY08/09 ($ million)1H FY08/09 ($ million)
5,156
5,811
6,496 6,607
7,936
3,000
4,000
5,000
6,000
7,000
8,000
9,000
1H/04 1H/05 1H/06 1H/07 1H/08
($ million)
Group Expenditure
20.1%
5-Year CAGR+ 11.4%
GROUP OPERATING PROFIT GROUP OPERATING PROFIT –– 1H FY08/09 ($ million)1H FY08/09 ($ million)
623 584
982
575533
0
200
400
600
800
1,000
1H/04 1H/05 1H/06 1H/07 1H/08
($ million)
Operating Profit
41.4%
SATS Group12.5%
CONTRIBUTION TO GROUP OPERATING CONTRIBUTION TO GROUP OPERATING PROFIT PROFIT –– 1H FY08/091H FY08/09
SIA36.6%
SIAEC10.7%1.9
79.6
9.56.52.5
-13.2
86.1
14.29.83.1
0
100
1H/07 1H/08
SIAEC SATS
SIA
SIA Cargo
Others
%
689
932
- 250
1H/081H/08
GROUP NET PROFIT GROUP NET PROFIT –– 1H FY08/091H FY08/09
0
200
400
600
800
1,000
1H/07
($ million)
932
AssociatedCompanies
+132
Higher share of profits
of associated companies
OperatingProfit
Loweroperating
Profit
Others
+25
Lowertax & others
-407
GROUP RESULTS GROUP RESULTS –– 1H FY08/091H FY08/09
20.020.0Interim Dividend Per Share (¢)
1.751.70EBITDAR Per Share ($)
1H/071H/08
12.7712.26Net Asset Value Per Share ($)
At 31 Mar 08At 30 Sep 08
74.757.6Earnings Per Share (¢)
LOOKINGLOOKINGAHEADAHEAD
LOOKING AHEADLOOKING AHEAD–– 2H FY2008/092H FY2008/09
Fleet Development
Capital Expenditure
Fuel Hedging Position
Outlook
PASSENGER FLEET DEVELOPMENT PASSENGER FLEET DEVELOPMENT –– 2H FY2008/092H FY2008/09
104Operating Fleet at 31 March 2009
Aircraft Deliveries/(Disposals)
Boeing B777-300ER
Airbus A330-300
Boeing B747-400
101Operating Fleet at 30 September 08
No. of Aircraft
1
4
(2)
GROUP CAPITAL EXPENDITURE GROUP CAPITAL EXPENDITURE FOR NEXT 5 YEARS ($ million)FOR NEXT 5 YEARS ($ million)
2,6002,600
100100
2,5002,500
FY10/11FY10/11
2,4002,400
100100
2,3002,300
FY11/12FY11/12
2,2002,200
100100
2,1002,100
FY12/13FY12/13
3,2003,2001,9001,900TotalTotal
100100300300Other AssetsOther Assets
3,1003,1001,6001,600AircraftAircraft
FY13/14FY13/14FY09/10FY09/10
GROUP FUEL HEDGING GROUP FUEL HEDGING POSITION POSITION –– FY2008/09FY2008/09
Budgeted Uplift Volume (M BBL) 36
Hedging Target (%) 45 +/- 15
Percentage Hedged (%) at 30 Oct 08 49.3
Avg Hedged Price (USD/BBL - Jet Fuel) 117 - 121
OUTLOOKOUTLOOK
Global Financial Markets in Crisis
Worsening Economic Outlook
Fuel Prices Remain Volatile