The airline said Monday it recorded 4.52 trillion won ($3.03 billion) in revenue and 516.9 billion won in operating profit for the first quarter on a standalone basis. Revenue rose 14.1 percent from a year earlier, marking the highest first-quarter performance in the company’s history.
Operating profit climbed 47.3 percent year-on-year, while net profit increased 25.6 percent to 242.7 billion won.
Korean Air said both passenger and cargo businesses contributed to improved earnings despite ongoing instability in the Middle East.
Passenger revenue rose 7.3 percent from a year earlier to 2.61 trillion won, supported by solid travel demand during the Lunar New Year holiday in February and increased sales on key transfer routes, including Europe.
Industry officials said disruptions at Middle Eastern airports, including Dubai, due to the regional conflict may have boosted transfer demand through Asian hub airports such as Incheon. According to aviation data from the Ministry of Land, Infrastructure and Transport, Korean Air carried 8.04 million passengers in the first quarter, up 5 percent from a year earlier.
Cargo revenue increased 3.5 percent to 1.09 trillion won. The airline attributed the growth to expanding fixed-volume contracts and flexible route operations, including additional charter and ad hoc flights on strong-demand routes to North America. Cargo volume reached 431,500 tons, up 2.7 percent from the same period last year.
However, Korean Air warned that the impact of geopolitical tensions in the Middle East would likely intensify in the second quarter, as rising fuel costs and exchange rate volatility weigh on profitability.
A Korean Air official said the airline had shifted to an emergency management in April to prepare for surging fuel costs and would pursue cost efficiency measures.
“We are strengthening our financial fundamentals and using this period as an opportunity to build a stable foundation for future growth,” the official said.
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