China Eastern Airlines has posted a net profit of 3.56 billion yuan for the first six months of this year – an increase of 23.660% compared with the year-ago period. Revenue was up by 3.9% to 44.31 billion yuan. Revenue tonne kilometres rose 10.3% - of which passenger traffic surged 12.5% with freight up by 5.3%. Operating cost fell 6 percent, owing to lower fuel and engine repair costs.
Meanwhile China Eastern has cut off financial support for JetStar Hong Kong but will wait until next month to make a final decision on whether to appeal against the rejection of its licence application by Hong Kong regulators.
Qantas, China Eastern and Shun Tak each held a one-third stake in Jetstar Hong Kong. Qantas has also cut off support but Shun Tak has not yet announced how it will deal with its stake.