Major bonus follows a record $2.8-billion net profit for the company
Singapore Airlines is granting employees a profit-sharing bonus of 7.45 months following a record $2.8 billion net profit in the previous fiscal year, according to reports.
The airline confirmed the FY2024-25 bonus to The Straits Times.
"This is based on a longstanding formula that has been agreed with our staff unions," it told the news outlet.
This year's bonus is slightly lower than the 7.94 months' worth of profit-sharing bonus that was rewarded to employees in the previous financial year, which marked the airline's highest-ever bonus in history.
The massive bonus comes after the company logged a record $2.8-billion net profit in the year that ended on March 31.
The net profit was boosted by the one-off non-cash accounting gain of $1,098 million from the Air India-Vistara merger in November 2024, according to the airline's financial results.
The SIA Group's revenue also climbed $527 million from a year before to $19,540 million, which the company attributed to resilient demand for air travel and cargo uplift.
"SIA and Scoot carried a record 39.4 million passengers, up 8.1%," it said. "Group passenger load factor fell 1.4 percentage points to 86.6%, as passenger traffic growth of 6.4% lagged capacity expansion of 8.2%."
Meanwhile, the group logged a lower operating profit of $1,709 million for FY2024-25, following increases in group expenditures and non-fuel expenditure.
The findings come in the wake of a "challenging operating environment" for the global airline industry amid changing trade tariff policies and trade tensions, according to Singapore Airlines.
It added that the situation is also further influenced by economic and geopolitical uncertainties, as well as continued supply chain constraints.
"The Group remains vigilant, closely monitoring developments and prepared to respond swiftly to market conditions," it said.
"The Group will rely on its strong foundations, including dual brand portfolio airline, well-diversified global network, a robust balance sheet, talented and dedicated workforce, as well as industry-leading digital capabilities to navigate these challenges."
