Singapore Airlines staff will get a profit-sharing bonus of 7.94 months, Bloomberg reported, citing a person familiar with the matter.

Bloomberg said SIA declined to comment.

The Business Times and The Straits Times reported the same, citing an announcement it had seen from chief executive officer Goh Choon Phong.

The payout will also be given to pilots.

In 2023, the airline’s staff reportedly received 6.65 months of bonus pay, with some receiving an extra 1.5 months for their work during the Covid-19 pandemic.

Shareholders of SIA also received good news — the company posted a record full-year net profit on May 15 and is proposing a higher dividend payout.

SIA has recommended a final dividend of 38 cents a share.

This takes the total payout to 48 cents a share following an interim dividend of 10 cents a share on Dec. 22, 2023.

SIA paid out 38 cents a share in the year ending Mar. 31, 2023.

The final dividend will be paid on Aug. 21, 2024, subject to shareholder approval.

Details

The national carrier's earnings rose 24 per cent to S$2.7 billion for the 12 months to Mar. 31, 2024, due to a better operating performance, lower tax expenses and a share of profits from associates.

Revenue rose 7 per cent to a record S$19 billion.

Turnover from passengers flown rose 17.3 per cent to S$15.7 billion, even though passenger yields fell 7.6 per cent.

Sales from cargo fell 42.2 per cent lower than a year earlier to S$2.1 billion, but is still almost 30 per cent above pre-pandemic levels.

SIA said demand for air travel will remain "healthy" in the June quarter and buoyant for the year, owing to a rebound in North Asia as China, Hong Kong, Japan and Taiwan fully reopened their borders.

SIA and its low-cost carrier Scoot carried 36.4 million passengers, which is 37.6 per cent higher than a year earlier.

Passenger loads improved 2.6 percentage points to a record 88 per cent: SIA clocked a new high of 87.1 per cent, while Scoot was 91.2 per cent.

However, passenger yields will likely continue to moderate due to airlines increasing capacity, particularly in Asia-Pacific.

Headwinds are afoot as there continues to be downward pressure on cargo yields as industry capacity has increased.

Top photo via SIA