Posted Date: Monday, 21-May-2012
TIGER Airways registered a S$104.3 million (US$81.9 million) loss for the financial year ended March 31, 2012, wiping out S$39.9 million in profit generated the year before.
Total revenue generated by Tiger Airways in FY11-12 dropped to S$618.2 million, down from S$622.3 million in FY10-11, while Cost per Available Seat Kilometre grew by 12.0 per cent year-on-year.
For the quarter ended March 31, 2012, the airline registered a loss after tax of S$16.4 million, versus profit after tax of S$1.4 million for the same quarter the year before.
Tiger Airways attributed the dismal financial performance to its six-week suspension by Australia’s Civil Aviation Safety Authority (TTG Asia e-Daily, August 10, 2011), in tandem with heightened fuel prices.
Chin Yau Seng, Tiger Airways group CEO, said: “The six-week suspension (in Australia) contributed significantly to the poor financial result, and led to the under-utilisation of our fleet, which resulted in significant and adverse variances in our financial unit metrics in FY11-12."
On a positive note, Tiger Airways concluded its 33 per cent equity investment in PT Mandala Airlines in January 2012, allowing the Indonesian carrier to resume operations in April 2012 (TTG Asia e-Daily, March 28, 2012).
“Further, and in line with our joint-venture strategy across South-east Asia, we recently signed a revised term sheet to purchase a 40 per cent equity stake (for US$7 million) in Philippines-based South-east Asian Airlines. We are aiming to conclude this deal by the second quarter of FY12-13,” Chin added.