Korean Air’s Q1 net profit fell 35% from 543.85 billion in Q1 of 2022 to 355.42 billion won. The airline released its financial statement for Q1 of 2023 (January – March 2023). The airline also reported a plunge in its operating profit by 47% to 414.99 billion won from 788.45 billion won a year ago.
“Travel demand is recovering amid eased COVID-19 virus curbs. But an increase in operating costs, including higher jet fuel prices, weighed on the quarterly bottom line,” the airline said in a statement.
The airline reported a 14% uptick in sales due to rise in travel demand from 2.8 trillion won a year ago to close at 3.19 trillion in the quarter ending March 2023.
Looking ahead, the national flag carrier said passenger travel demand could further improve in the second quarter as most of the pandemic-related restrictions are expected to be lifted.
“As for the cargo business, we will pre-emptively respond to changing demands in the markets and win new deals amid a global economic slowdown,” the statement added.