China Southern Airlines, the country's largest carrier by fleet size, returned to the black last year backed by booming demand for air travel and a government bailout.
The Guangzhou-based carrier last year made 358 million yuan (US$52.42 million) in net income, or 0.05 yuan per share, compared with a loss of 4.83 billion yuan in 2008, it said in a statement to the Shanghai Stock Exchange yesterday.
Its sales revenue declined 0.68 percent to 56 billion yuan in the period and its main operating revenue decreased by 1.19 percent to 55 billion yuan, the statement said.
However, the government contributed 660 million yuan to the carrier's income. Without the bailout, the carrier still faced a loss of 264 million yuan in its main business.
"During the reporting period, the weak demand for international aviation service remained. Though the domestic market recovered rapidly, the growth of demand was generally slower than that of traffic capacity that led to keen market competition," the carrier said. It carried 66.28 million passengers last year, rising 13.81 percent from a year earlier. International passenger volume declined by 2 percent to 3.87 million.
Last year, the carrier issued 721 million yuan-denominated shares and 721 million Hong Kong-listed shares via private placement to raise 3 billion yuan. It will raise another 10 billion yuan this year.
"We expected the carrier's net income will reach 1.87 billion yuan, or 0.23 yuan per share, this year and 2.16 billion yuan, or 0.27 yuan per share, next year," said Mao Ang, an analyst with China Galaxy Securities Co.
The Guangzhou-based carrier last year made 358 million yuan (US$52.42 million) in net income, or 0.05 yuan per share, compared with a loss of 4.83 billion yuan in 2008, it said in a statement to the Shanghai Stock Exchange yesterday.
Its sales revenue declined 0.68 percent to 56 billion yuan in the period and its main operating revenue decreased by 1.19 percent to 55 billion yuan, the statement said.
However, the government contributed 660 million yuan to the carrier's income. Without the bailout, the carrier still faced a loss of 264 million yuan in its main business.
"During the reporting period, the weak demand for international aviation service remained. Though the domestic market recovered rapidly, the growth of demand was generally slower than that of traffic capacity that led to keen market competition," the carrier said. It carried 66.28 million passengers last year, rising 13.81 percent from a year earlier. International passenger volume declined by 2 percent to 3.87 million.
Last year, the carrier issued 721 million yuan-denominated shares and 721 million Hong Kong-listed shares via private placement to raise 3 billion yuan. It will raise another 10 billion yuan this year.
"We expected the carrier's net income will reach 1.87 billion yuan, or 0.23 yuan per share, this year and 2.16 billion yuan, or 0.27 yuan per share, next year," said Mao Ang, an analyst with China Galaxy Securities Co.
