KAL post 14% growth in Q1 net earnings

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Korean Air (KAL) has reported a net income growth of 13.9% to 190 billion Korean won ($1.41 billion) for the three months ending 31 March, mostly due to foreign currency gains.

The airline's operating revenue amounted to 2.72 trillion Korean won, a year-on-year increase of 6.3%, while the operating profit jumped 44.2% to 145 billion Korean won.

In terms of operating statistics, RPKs rose 3%, ASKs increased 2% while cargo capacity rose 0.5% and traffic increased 21%.

International air traffic demand, especially from the Southeast Asian region, is expected to see a further boost. Factors in South Korea, such as a stable US dollar exchange rate, positive US visa waiver programme influences, and stronger passenger traffic demand from China and countries in Southeast Asia, should also benefit the airline in the year to come.