Transport Thai Airways Soars with $12 Billion Profits in Q2 2025

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Photo courtesy of Air Data News

 

Thai Airways (THAI) is witnessing a remarkable resurgence, reporting an impressive profit of over 12 billion baht in the second quarter of 2025. This success has been driven by lower jet fuel costs and a significant uptick in passenger numbers.

 

In the latest financial results, the national carrier and its subsidiaries revealed a revenue of 44.83 billion baht for the quarter, marking a 1.9% rise from the previous year. The airline saw a 4.2% increase in passenger numbers, reaching 3.97 million, thanks to more frequent flights on popular routes like Shanghai, Hong Kong, and Denpasar. The average cabin load factor improved to 77%, up from 73.2% during the same quarter last year.

 

Costs continued to decline, with operating expenses dropping 9% to 34.65 billion baht, largely attributed to falling oil prices. This was despite greater fuel consumption due to expanded flight operations. Savings were also made from reduced aircraft maintenance costs.

 

These factors led to a significant increase in operating profit before finance costs, which surged 71.8% to 10.18 billion baht, delivering an EBIT margin of 22.7%. After accounting for finance costs of 3.39 billion baht and one-time gains of 5.35 billion baht—mainly from converting leases to purchases for four Boeing 777-300ERs—the airline achieved a net profit of 12.13 billion baht, a striking leap from the 314 million baht profit recorded in Q2 2024.

 

For the first half of 2025, THAI's revenue reached 96.45 billion baht, showing a 7.2% increase year-on-year, while net profit soared to 21.97 billion baht—a staggering 702% rise. The passenger load factor averaged 80.2%, with 8.3 million passengers carried.

 

As of June 30, THAI operated a fleet of 78 aircraft, with an average utilisation of 13.6 hours per day. The airline also boosted its financial standing, reporting total assets of 297.69 billion baht and liabilities reduced to 230.13 billion baht. Cash reserves and current financial assets totalled 120.01 billion baht.

 

This strong performance comes shortly after THAI's successful return to the Stock Exchange of Thailand (SET) on August 4, following a comprehensive rehabilitation process. Over its initial four trading days, THAI shares saw an average daily turnover of 4.4 billion baht, closing on August 7 at 13.40 baht—a 27.6% increase from its relisting price. This brought the market capitalisation to 379.26 billion baht, ranking THAI as the 11th largest stock on the exchange.

 

THAI is committed to maintaining sustainable growth, enhancing service quality, and reinforcing its position as a regional aviation leader. After years of challenges, the airline is back to thriving in the skies and achieving substantial financial success.

 

  Adapted by ASEAN Now from The Thaiger 2025-08-08