Sky West Airlines profits dive

Rising fuel costs offset a boost in revenue at Australian and South East Asia regional airline Skywest Airlines, leading to a drop in pre-tax profit of three million Singapore dollars (S$) for the half year ended December 31st.

Profit for the half year was S$6.4m compared to S$9.8m for the previous corresponding period, on revenues of S$145m compared to S$125.3m in the same period the year before.

The cost of fuel rose from $28m to $33m year-on-year.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

Profits were also affected by non-recurring expenses amounting to S$3.2m of which there were additional aircraft cross-hire expenses of S$2.6m and other expenses related to damage caused to an aircraft by a service provider amounting to S$0.6m.

Earnings per share fell from S$3.58 to S$2.23. No dividend was declared.

The share price fell 10.71% to 25p by 13:28.

NR