Chinese Carriers' net Profit Jumps in Q2 2016

Chinese flag carrier Air China's third-quarter net profit rose 61.7% YoY to RMB 3.77 billion (USD 556.02 million), helped by strong summer travel demand.

Revenue over the quarter, traditionally the peak travel season for Chinese airlines, rose 2.22% YoY to RMB 31.9 billion from RMB 31.3 billion yuan, against a 9.2% rise in passenger traffic, the airline said on October 27.

"Benefiting from a relatively strong summer holiday, domestic passenger demand grew steadily and the outbound tourism stayed robust. However, the cargo business continued to be sluggish," the company said in an e-mailed statement.

This contributed to a 15.1% rise in January-September net profit to RMB 7.23 billion from a year earlier, it said. Passenger capacity, measured by available seat kilometres, rose 7.63%, while the passenger load factor edged up by 1.18 percentage points to 82.92%, Air China said.