Cargo demand helps Korean Air increase Q2 operating profit

Eliyahu Yosef Parypa/ Shutterstock.com

Air cargo demand and a gradual rebound in passenger traffic has helped Korean Air increase its operating profit to KRW 735.9 billion (US$ 569 million) in the second quarter of 2022.  

This is an increase when compared to US$ 152 million posted in Q2 a year ago.  

The positive results were attributed to decreasing COVID-19 cases and border reopening across the region as well as robust cargo demand. During the quarter, Korean Air recorded a cargo revenue of KRW 2.1712 trillion (US$ 1.7 billion), a 44% increase year-on-year. 

The South Korean airline managed to post profit despite supply chain bottlenecks which were then followed by the war in Ukraine and the COVID-19 lockdowns in China. 

However, looking ahead, Korean Air anticipates passenger traffic to recover slower than originally forecasted due to rising fuel costs. The carrier also plans to procure additional air cargo capacity through passenger fleet belly cargo space in order to maximize profits.  

Related Posts

Subscribe

Stay updated on aviation and aerospace - subscribe to our newsletter!