SATS posts 12.8% increase in Q3 net profit
Its net profit for the third quarter of the 2015-16 financial year came in at S$60.6 million.
- Posted 12 Feb 2016 23:12
SINGAPORE: Ground-handling and in-flight catering service provider SATS on Friday (Feb 12) reported a net profit of S$60.6 million for the third quarter of the year ended Dec 31, 2015. This is an increase of 12.8 per cent from the previous corresponding period, it said in a media release.
According to SATS, its revenue decreased 2.2 per cent year-on-year to S$441 million for Q3.
Group expenditure shrank 5.1 per cent to S$379.2 million. SATS attributed this to reductions in expense categories, except staff costs and depreciation and amortisation charges.
"Manpower costs rose S$11.5 million due mainly to higher accrual of staff expenses and contract services while depreciation increase was in line with additional capital expenditure," SATS said.
It added that operating profit for the quarter improved by 20.9 per cent year-on-year to S$61.8 million.
Looking forward, the company said economic uncertainty and low consumer confidence across most of Asia suggest the "challenging operating environment" will persist. "However, our focus on raising productivity by adopting new technologies and driving economies of scale has prepared us well for these headwinds," it said.