Tiger returns to third quarter profit

first_imgSource = e-Travel Blackboard: J.L <a href=”http://www.etbtravelnews.global/click/1ec74/” target=”_blank”><img src=”http://adsvr.travelads.biz/www/delivery/avw.php?zoneid=132&amp;cb=INSERT_RANDOM_NUMBER_HERE&amp;n=a238f441″ border=”0″ alt=””></a> Tiger Airways have bounced back to profit in the third quarter, announcing today a net profit after tax of SGD$14.1 million for the quarter ending 31 December 2009, compared to a SGD$7.7 million loss for the same period a year ago.The budget carrier said the result, which represented a $22 million turnaround, was driven by a higher load factor.“The growth in passenger numbers was at a faster pace than the increase in seat capacity (+46%) pushing passenger load factor to 88%, a 5 percentage points improvement over the previous year” it said in a statement.Operating profit for the period was SGD$23.5 million versus a loss of SGD$5.1 million for the same quarter last year.“The result demonstrates that we have the right model in the right markets” said Tiger president and chief executive Tony Davis.“Tiger Airways Australia has been profitable for two successive quarters, proving that our Australian business has exited the start-up phase at a faster pace compared to the Singapore business, and is well positioned for growth going forward.Davis said the profit was achieved with a 19 percent reduction in average passenger fares and that the company would continue to focus on reducing our operating costs in order to offer lower fares.Tiger Airways said it would continue its “relentless focus on cost containment” and would introduce leather seats on all future aircraft deliveries to save on ongoing maintenance costs.“We believe that our focus on cost containment and our offer of lower fares to customers will continue to bear fruit heading into the fourth quarter” The carrier added that it would continue to look at opportunities to set up new operating airlines, and to grow its existing businesses.last_img

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