China Airlines Reports Record High Q1 Net Profit

Taipei: China Airlines (CAL), one of the leading international carriers in Taiwan, has posted its highest ever first quarter net profit, which it attributed to strong passenger demand during the Lunar New Year holiday and the winter vacation.

According to Focus Taiwan, CAL reported a net profit of NT$4.66 billion (US$154 million) for the January-March period, reflecting a 36.54 percent year-on-year increase. Earnings per share rose to NT$0.69, up from NT$0.51 in the same period last year.

The airline achieved NT$52.77 billion in consolidated sales during the first quarter, an increase from NT$48.65 billion a year earlier. A surge in passenger flights post COVID-19 contributed to a significant rise in revenue, reaching NT$32.69 billion, a 12.3 percent increase from the previous quarter.

CAL plans to capitalize on anticipated strong demand during the upcoming summer vacation by increasing its round-trip flights to destinations such as Takamatsu, Kagoshima, Seoul, Busan, Vienna, Jakarta, and Ho Chi Minh City. The carrier currently offers the highest number of flights to Europe and Australia among Taiwanese airlines.

Additionally, CAL's first-quarter revenue from cargo services rose 27.46 percent year-on-year to NT$15.69 billion. This was driven by expanded services to meet growing demand for air cargo. In response to new tariffs imposed by the United States, CAL has adjusted its cargo flight schedules and optimized its cargo flight portfolio to maintain competitiveness and sustain its cargo operations.

Earlier this week, the airline signed a significant agreement to purchase at least 14 Boeing 777X jets, including 10 777-9 passenger jetliners and four 777-8F freighters, with an option to buy an additional nine Boeing aircraft. CAL is expected to receive its first Boeing 777X aircraft in 2030.