Air Transport

Singapore Airport Terminal Services (SATS) posted a 25% rise in net profit in the fiscal second quarter thanks to its acquisition of catering firm Singapore Food Industries.

Net profit in the three months ending 30 September rose 25% to S$41 million ($29 million), says SATS, adding that revenues in the quarter increased 45% to S$362 million.

Total expenditure, meanwhile, rose 56% to S$320 million.

In terms of first half results, net profit rose 22% to S$82 million and revenues increased 53% to S$628 million.

SATS says profits rose because it acquired a new business, Singapore Food Industries, and it enjoyed higher profit contributions from its overseas associated companies.

In April, it also secured Singapore's Tiger Airways as a customer.

The company says "there are signs the global economy is improving, albeit slowly."

"While recent industry statistics suggest that the aviation downturn is bottoming out and activity levels during the second half may improve, they are likely to remain below pre-crisis levels," it adds.