China Eastern Airlines (00670) rose more than 3%. As of the time of writing, the stock was up 1.85%, trading at HK$5.52, with a turnover of HK$40.6959 million. On the news front, on January 30, China Eastern Airlines Corporation Limited announced that, according to Chinese Accounting Standards for Business Enterprises, it expects its total profit for the 2025 fiscal year to be approximately RMB 200 million to RMB 300 million. The company anticipates a net loss attributable to shareholders of the listed company for 2025 to be approximately RMB 1.3 billion to RMB 1.8 billion, and a net loss attributable to shareholders of the listed company after deducting non-recurring gains and losses for 2025 to be approximately RMB 2.7 billion to RMB 3.3 billion. For the full year 2025, the company completed a total traffic turnover of 27.981 billion ton-kilometers and transported nearly 150 million passengers, representing year-on-year increases of 10.82% and 6.68% respectively. The total profit is expected to be between RMB 200 million and RMB 300 million, achieving a turnaround to profitability. Shenwan Hongyuan believes that China Eastern Airlines' recovery on international routes is leading the industry, with recovery rates exceeding 2019 levels. Strong growth in inbound and outbound travel demand at its main hub, Shanghai, positions the company to fully benefit from the expansion in international route demand. Currently, some aircraft in the industry equipped with Pratt & Whitney engines require grounding for maintenance; however, China Eastern's fleet is not equipped with PW1100 engines, thus avoiding the operational efficiency declines and cost increases associated with aircraft groundings. With the company's operational conditions showing substantial improvement, coupled with favorable external factors such as two-way improvements in oil prices and exchange rates, the outlook for the company's future development is positive.
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