SIA spruces up the passenger journey amid losses

From new amenity kits to revamped lounges, Singapore Airlines (SIA) is rolling out a fresh round of upgrades for passengers.

The airline announced a host of upcoming enhancements along with deeper partnerships with Air India, Malaysia Airlines and Air China, even as it reported a first-quarter net loss of $76 million in a Singapore Exchange filing on July 28.

The deficit comes on the back of fuel costs having risen more than 78 per cent, driven by skyrocketing oil prices due to the Middle East conflict – which has effectively blocked the Strait of Hormuz, an immensely vital global shipping channel for oil and gas.

SIA said that Air India – in which it has a 25.1 per cent stake – has made “tangible progress” in its transformation efforts, and that the Singapore carrier and its partner, Tata Sons, remain committed to the Indian airline.

SIA added that it is deepening its commercial partnership with Air India by enhancing network connectivity, expanding code-share arrangements and collaborating on loyalty programmes. These are expected to be rolled out progressively in 2026.

SIA has also received final regulatory approval for its commercial joint business with Malaysia Airlines. Both companies introduced joint-fare products for travel between Singapore and Kuala Lumpur in June.

Other customer benefits are in the works, including reciprocal lounge access and coordinated flight schedules, delivering a more seamless travel experience, SIA said.

It also signed an agreement with Air China in June for a commercial joint-venture partnership. If approved by regulators, both airlines can have expanded code-share arrangements, coordinated flight schedules, joint-fare products and revenue-sharing arrangements.

On the ground, a new First Class SilverKris Lounge at Singapore Changi Airport Terminal 2 has opened, and lounges in Brisbane, Bangkok and Hong Kong have been refurbished.

SIA added that work is ongoing on the upgraded Business Class SilverKris and KrisFlyer Gold lounges at Changi Airport Terminal 2, and a new SilverKris Lounge in Melbourne.

These will be rolled out progressively in financial year 2026/2027.

In the pipeline, too, is a spruced-up in-flight experience that SIA will unveil later in 2026. It includes next-generation long-haul cabin products, a refreshed in-flight entertainment system, enhancements to in-flight dining and new amenity kits.

From 2027, SIA will progressively introduce Starlink’s low Earth orbit satellite-based broadband service to enhance onboard internet connectivity.

It said it remains firmly committed to investing in and enhancing its product and service offerings to elevate the end-to-end customer experience.

Despite its net loss in the first quarter, SIA still achieved record revenue of $5.7 billion, which was an increase of 19 per cent year on year.

Passenger revenue also grew by more than 18 per cent. SIA and Scoot carried a record 10.9 million passengers, up 6.3 per cent from a year ago.

However, the rise in fuel costs – the airline’s single-largest cost component – drove operating profit down 74 per cent to $106 million.

Outlook remains uncertain

SIA said geopolitical developments, including the Middle East conflict, continue to add uncertainty to the airline industry’s operating environment.

This is even as demand for air travel remains robust.

SIA said the most immediate impact of geopolitical uncertainty is on jet fuel prices.


-The Strait Times