SI A GROUP FI NANCI AL RESULTS For 3 rd Quarter and 9 Months Ended - PDF document

SI A GROUP FI NANCI AL RESULTS For 3 rd Quarter and 9 Months Ended 31 December 2015 197200078R PARENT AI RLI NE COMPANY Q3 & 9M FY2015-16 Actuals 1

PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 & 9M 2015-16 Q3 & 9M 2015-16 Q3 9M FY15/ 16 Change FY15/ 16 Change % % Available Seat-KM (M) 29,738.0 -1.2 89,340.4 -1.7 Revenue Passenger-KM (M) 23,788.5 + 1.0 71,479.0 -0.8 Passenger Load Factor (% ) 80.0 + 1.7 pts 80.0 + 0.7 pts Pax Yield – include fuel 11.0 -4.3 10.7 -3.6 surcharge (¢/ pkm) Passenger Unit Cost (¢/ ask) 8.5 -6.6 8.6 -3.4 Passenger Unit Ex-fuel Cost 5.5 + 5.8 5.4 + 8.0 (¢/ ask) Passenger Breakeven Load 77.3 -1.8 pts 80.4 + 0.2 pts Factor (% ) Slide 3 PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 & 9M 2015-16 Q3 & 9M 2015-16 Operating Result Q3 Better/ Better/ 9M Better/ Better/ FY15/ 16 (Worse) (Worse) FY15/ 16 (Worse) (Worse) ($M) ($M) (% ) ($M) ($M) (% ) Total Revenue 2,990.3 (194.8) (6.1) 8,897.1 (519.2) (5.5) Total Expenditure 2,809.3 289.2 9.3 8,510.4 636.1 7.0 -- Net fuel cost 886.9 295.0 25.0 2,842.9 682.1 19.4 Fuel cost 651.8 350.6 35.0 2,151.5 1,203.6 35.9 Fuel hedging loss 235.1 (55.6) (31.0) 691.4 (521.5) n.m. -- Non-fuel expenditure 1,922.4 (5.8) (0.3) 5,667.5 (46.0) (0.8) Operating Profit 181.0 94.4 109.0 386.7 116.9 43.3 Operating Profit Margin (% ) 6.1 3.4 pts 4.3 1.4 pts Slide 4 2

PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 2015-16 Q3 2015-16 Operating Performance % Passenger Load Factor 90 Breakeven Load Factor 85 80.0 79.8 79.5 79.1 80 -0.5 -0.1 -0.8 + 2.7 79.4 77.2 79.3 78.3 + 1.2 77.3 75 76.0 70 65 60 Q3 FY11/ 12 Q3 FY12/ 13 Q3 FY13/ 14 Q3 FY14/ 15 Q3 FY15/ 16 Slide 5 PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 2015-16 Q3 2015-16 Composition of I ncrease in Operating Profit Lower $M Lower net fuel 400 revenue cost 300 Lower depreciation + 23.4 -37.2 and lease rentals 200 181.0 Lower -194.8 -0.6 + 8.6 Higher + 94.4 loss staff and (+ 109.0% ) AMO 100 86.6 costs + 295.0 0 Net fuel Operating Foreign Staff cost Depn Q3 Q3 Others exchange/ and cost revenue & AMO FY15/ 16 FY14/ 15 revaluation lease Slide 6 3

PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 & 9M 2015-16 Q3 & 9M 2015-16 Monthly Pax Yields (I ncluding Fuel Surcharge) 2015-16 2013-14 2014-15 ¢/ pkm 12 11.5 11.5 11.4 11.4 11.4 11.4 11.3 11.2 11.3 11.1 11.3 11.1 11.1 11.2 10.9 11 11.1 10.8 11.0 11.0 10.9 10.9 10.9 10.8 10.7 10.7 10.7 10.6 10.5 10.4 10.1 10 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Slide 7 PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 2015-16 Q3 2015-16 Cost Composition ($M) Others 311.3 (-31.3, -9.1% ) Passenger Costs 11.1% Fuel Cost Post Hedging 169.3 (-0.5, -0.3% ) 886.9 (-295.0, -25.0% ) 6.0% LPO* Charges 31.6% 148.5 (+ 2.3, + 1.6% ) 5.3% 8.0% Handling Charges 226.0 (+ 6.7, + 3.1% ) 14.2% 17.1% 6.7% Staff Costs 399.7 (+ 18.9, + 5.0% ) Aircraft Depreciation & Lease Rentals AMO Costs 480.0 (-8.6, -1.8% ) 187.6 (+ 18.3, + 10.8% ) * Landing, Parking and Overflying Slide 8 4

PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 & 9M 2015-16 Q3 & 9M 2015-16 Fuel Price After Hedging ($ million) Fuel Cost after hedging Fuel Price before hedging Fuel Price after hedging (USD/ BBL) 136 1,800 133 140 134 132 129 129 130 123 135 132 130 131 121 119 1,600 120 122 110 115 103 99 1,400 98 100 102 90 98 90 82 74 77 1,268 1,200 1,254 80 1,231 1,205 1,194 1,182 1,179 67 70 60 1,000 1,043 60 1,011 994 962 50 924 887 800 40 30 600 20 10 400 0 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY10/ 11 FY11/ 12 FY12/ 13 FY13/ 14 FY14/ 15 FY15/ 16 Slide 9 PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 2015-16 Q3 2015-16 Composition of I ncrease in Fuel Cost (After Hedging) Lower $M Weighted average 1,181.9 1,200 fuel price -295.0 (-25.0% ) 1,000 + 11.1 -5.3 + 55.6 886.9 Stronger Higher US Dollar uplift Higher 800 hedging -415.7 + 59.3 loss Q3 Price Exchange Hedging Q3 Volume Others FY14/ 15 FY15/ 16 Slide 10 5

PARENT AI RLI NE COMPANY PARENT AI RLI NE COMPANY Q3 2015-16 Q3 2015-16 Passenger Unit Cost ¢/ ask 10 9.1 8.5 (-6.6% ) 8 3.0 (-23.1% ) 3.9 Unit Fuel Cost 6 1.3 (-) Unit Staff Cost 1.3 4 3.9 Unit Other Cost 2 (+ 7.7% ) 4.2 0 Q3 FY14/ 15 Q3 FY15/ 16 Slide 11 SI A GROUP Q3 & 9M FY2015-16 Actuals 6

SI A GROUP SI A GROUP Q3 & 9M 2015-16 Q3 & 9M 2015-16 Operating Result Q3 Better/ Better/ 9M Better/ Better/ FY15/ 16 (Worse) (Worse) FY15/ 16 (Worse) (Worse) ($M) ($M) (% ) ($M) ($M) (% ) Total Revenue 3,941.0 (157.5) (3.8) 11,519.1 (166.7) (1.4) Total Expenditure 3,653.0 299.2 7.6 10,991.1 377.2 3.3 -- Net fuel cost 1,138.9 354.0 23.7 3,603.0 692.0 16.1 840.3 426.4 33.7 2,734.9 33.0 Fuel cost 1,345.4 298.6 (72.4) (32.0) 868.1 (653.4) n.m. Fuel hedging loss 2,514.1 (54.8) (2.2) 7,388.1 (314.8) (4.5) -- Non-fuel expenditure Operating Profit 288.0 141.7 96.9 528.0 210.5 66.3 Operating Profit Margin (% ) 7.3 3.7 pts 4.6 1.9 pts Slide 13 SI A GROUP SI A GROUP Q3 & 9M 2015-16 Q3 & 9M 2015-16 Group Revenue $M 4,200 4,098.5 4,000 9M FY15/ 16 3,905.1 3,941.0 3,879.7 3,844.8 $11,519.1M 3,800 3,733.3 3,682.2 Year-on-Year 3,600 $166.7M 3,400 (-1.4% ) 3,200 3,000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY15/ 16 FY14/ 15 Slide 14 7

SI A GROUP SI A GROUP Q3 & 9M 2015-16 Q3 & 9M 2015-16 Group Expenditure $M 4,000 3,952.2 9M FY15/ 16 3,787.8 3,773.4 3,800 3,716.2 $10,991.1M 3,653.0 3,642.7 3,621.9 3,600 Year-on-Year $377.2M 3,400 (-3.3% ) 3,200 3,000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY15/ 16 FY14/ 15 Slide 15 SI A GROUP SI A GROUP Q3 & 9M 2015-16 Q3 & 9M 2015-16 Group Operating Profit $M % 8 300 288.0 7.3 9M FY15/ 16 7 Op. Profit 250 6 $528.0M 5 $210.5 M 200 3.6 4 3.4 (+ 66.3% ) 3.3 3.0 146.3 150 2.4 3 131.7 128.6 Operating 111.4 2 1.1 Profit Margin 91.9 100 1 1.9% pts 0 50 39.5 -1 -2 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY14/ 15 FY15/ 16 Slide 16 8

SI A GROUP SI A GROUP Q3 2015-16 Q3 2015-16 Composition of I ncrease in Operating Profit Lower pax $M flown and cargo and 600 mail Lower net revenue fuel cost Higher -45.7 staff 400 -83.2 costs -30.7 Lower 2- -35.6 288.0 year old Higher, unclaimed -17.1 + 141.7 depreciation, credits 200 (+ 96.9% ) lease rentals and AMO costs 146.3 + 354.0 0 Depn, lease Staff Others Q3 Fuel Pax flown, 2-year old Q3 & AMO FY14/ 15 cargo & unclaimed costs FY15/ 16 mail revenue credits Slide 17 SI A GROUP SI A GROUP Q3 2015-16 Q3 2015-16 Cost Composition ($M) Others 414.4 (-37.4, -8.3% ) Fuel Cost Post Hedging Passenger Costs 11.3% 1,138.9 184.5 (+ 1.1, + 0.6% ) (-354.0, -23.7% ) 5.1% LPO* Charges 31.2% 198.1 (+ 6.4, + 3.3% ) 5.4% Handling Charges 8.0% 294.2 (+ 18.4, + 6.7% ) 4.9% 17.0% AMO Costs 17.1% 178.7 (+ 14.5, + 8.8% ) Staff Cost Depreciation and Lease Rentals 620.6 (+ 35.6, + 6.1% ) 623.6 (+ 16.2, + 2.7% ) * Landing, Parking and Overflying Slide 18 9

SI A GROUP SI A GROUP Q3 2015-16 Q3 2015-16 Group Operating Profit Q3 Q3 Better/ Better/ FY15/ 16 FY14/ 15 (Worse) (Worse) ($ M) ($ M) ($ M) (% ) SI A 181.0 86.6 94.4 109.0 SI AEC 29.1 24.3 4.8 19.8 SI A Cargo 2.2 16.4 (14.2) (86.6) SilkAir 33.2 17.4 15.8 90.8 Scoot 18.0 (17.1) 35.1 n.m. Tiger Airways 9.0 3.9 5.1 130.8 Others 15.5 14.8 0.7 4.7 Group Total 288.0 146.3 141.7 96.9 Slide 19 SI A GROUP SI A GROUP Q3 2015-16 Q3 2015-16 Group Net Profit $M 300 Q3 FY15/ 16 274.9 Net Profit $274.9M 202.6 $72.3M 200 (+ 35.7% ) 142.5 135.2 100 50.1 0 Q3 Q3 Q3 Q3 Q3 FY11/ 12 FY12/ 13 FY13/ 14 FY14/ 15 FY15/ 16 Slide 20 10

SI A GROUP SI A GROUP Q3 2015-16 Q3 2015-16 Group Profit Attributable to Owners of the Parent Higher $M Higher operating 375 I mpairment tax profit -56.2 of 2 B772s + 51.7 expense -6.1 and NCI -8.9 Lower 300 share of 274.9 Absence of SLK’s profits exceptional gain on -50.8 + 72.3 + 0.9 SLB items (+ 35.7% ) 225 202.6 + 141.7 150 75 0 Tax & NCI Others Q3 Q3 Assocs & Operating Exceptions Sale I mpairment JVs FY15/ 16 FY14/ 15 profit and leaseback Slide 21 11