Korean Air announced a record quarterly revenue of KRW 4.0237 trillion (approximately USD 2.8964 billion) for the second quarter of 2024. This figure represents a 14% increase compared to the same period in the previous year. The airline attributes this growth to its proactive strategies in adapting to seasonal changes in passenger demand and its focused efforts on capturing air cargo demand.
Korean Air remains committed to adapting its strategies in response to market demands, ensuring that it can continue to meet the needs of its passengers and cargo customers while navigating the challenges of rising operational costs.
Passenger business revenue saw a notable rise of 10% year-on-year, reaching KRW 2.4446 trillion. This growth was supported by the airline’s expanded capacity across its global networks, including increased flights to China, as well as strong demand from both business and leisure travelers heading to the Americas and Europe.
Rising Cargo Revenue
Korean Air’s cargo division also experienced a significant boost, with revenue increasing by 14% year-on-year to KRW 1.0972 trillion. The increase was driven by higher e-commerce volumes from China, alongside continued demand from key industries such as semiconductors, automotive, and displays. The airline’s ability to meet these demands has been a critical factor in its overall revenue growth.
Despite the record revenue, Korean Air’s operating profit declined by 12% compared to the previous year. The decrease was primarily due to rising fuel and labor costs, as well as other expenses related to the increased volume of business. These challenges have impacted the airline’s bottom line, even as it continues to grow its revenue.
Looking ahead to the third quarter of 2024, Korean Air plans to maximize profits by increasing flight frequencies and expanding charter operations, particularly during the peak summer travel season. The airline’s cargo business will continue to support the growing e-commerce sector by adding charter flights and optimizing route operations to enhance competitiveness.
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