Profits surge at China Southern Airlines

Profits surge at China Southern Airlines

Already considered one of the leading lights of the booming Asian aviation market, China Southern Airlines has seen profits increase 17-fold over the last year.

According to results released earlier, the carrier saw profits climb to CNY5.8 billion in 2010 while operating revenue increased 40 per cent to CNY76.5 billion.

Demand for travel in the booming Chinese economy was a key contributor to success, the airline said in a statement, while strong economic growth around the world and major events – including the Shanghai World Expo – also boosted revenue.

China Southern also added its results were aided by the disposal of shares held in MTU Maintenance Zhuhai, which earned the company CNY1.08 billion.

Total passenger numbers at Guangzhou-based carrier rose 15.4 per cent to 76.46 million during the year.

In a statement the firm said it had “successfully grasped buoyant opportunities arising from continuous prosperity in the aviation industry”.

“Faced with an increasingly complex domestic and international economic environment, China’s aviation industry will continue to forge ahead amid opportunities and challenges,” chairman Si Xianmin added.

China Southern Airlines has been nominated as Asia’s Leading Airline at the World Travel Awards in 2011 in recognition of its recent success.