Hainan Airlines forecasts strong 2010 result, Thai AirAsia looks at listing
Hainan Airlines shares rose 2.2% yesterday. The carrier added its first service to Sydney in Jan-2011, bringing the number of Chinese carriers operating to the airport to five. At the end of Jan-2011, the carrier announced 2010 net profit would increase six-fold, from CNY335 million (USD50.8 million) in 2009.
- Hainan Airlines' shares rose 2.2% following the announcement of a six-fold increase in net profit for 2010.
- Hainan Airlines added its first service to Sydney, increasing the number of Chinese carriers operating at the airport to five.
- The carrier attributes its improved financial performance to the recovery of the global economy and the approval of the Hainan island tourism development plan.
- Other Chinese airline stocks, including China Southern, Air China, and China Eastern, experienced a decline in share prices.
- AirAsia's shares dropped 3.9% as its Thai offshoot, Thai AirAsia, announced plans for an IPO to raise funds for expansion and debt repayment.
- The IPO of Thai AirAsia will involve at least 25% of the carrier's shares, with AirAsia holding a 49% stake in the airline.
The carrier attributes the result to the recovery of the global economy and the approval of the Hainan island tourism development plan.
Elsewhere in China, airline stocks were generally lower, with China Sothern, Air China and China Eastern all trading down.
Shares in AirAsia dropped 3.9%. The carrier's Thai offshoot, Thai AirAsia, announced it plans to conduct a float on the Stock Exchange of Thailand in 3Q2011, to raise funds for its expansion and repay debt. The IPO will be for at least 25% of the carrier's shares. AirAsia owns a 49% stake in the airline.
Selected Asia Pacific airlines daily share price movements (% change): 10-Feb-2011
