Singapore's Tiger posts S$14.1m profit in Q3

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Singapore's Tiger Airways has posted a net profit of S$14.1 million ($10 million) in its fiscal third quarter, rebounding from losses in the same period a year ago.

The low-cost carrier reported a profit of S$14.1 million for the quarter ended 31 December 2009, compared with a net loss of S$7.7 million in 2008's corresponding quarter.

It posted an operating profit of S$23.5 million, up from a loss of S$5.1 million, says Tiger.

Total revenue rose 29% to S$139.5 million from S$107.8 million, while expenditure rose 3% to S$116 million from S$112.9 million, it adds.

"The result demonstrates that we have the right model in the right markets. In fact, Tiger Airways Australia has been profitable for two successive quarters, proving that our Australian business has exited the start-up phase at a faster pace compared to the Singapore business, and is well positioned for growth going forward," says the carrier's CEO Tony Davis.

But Tiger failed to provide specific figures for its profitability in Australia.

In terms of traffic, passenger numbers rose 54% to 1.3 million from 845,300. Capacity, as measured in ASKs, grew 46%, while the passenger load factor increased 4.6 percentage points, says Tiger.

Forward bookings for the remainder of the fiscal year "continue to be healthy and broadly in line with the recent trend", adds the airline.

"In light of the improving economic environment in the Asia Pacific region, we will continue to look at opportunities to set up new operating airlines, and to grow our existing businesses," it says.