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

 

11 billion of that in unrefunded farers during covid

Savings were also made from reduced aircraft maintenance costs    🤣

 

Yea why bother spending all that money on maintenace when you can give it to the new shareholders

1 hour ago, JoePai said:

Savings were also made from reduced aircraft maintenance costs    🤣

 

Yea why bother spending all that money on maintenace when you can give it to the new shareholders

sure not !!  not saving on security/ maintenace  of airplanes . its due to: high  maintenance cost  airplanes are going out of the fleet, less various airplane types.

Greatest airline in Asia.

Did they pay back all the bailout tax money, covid refunds etc. or are we just writing that off and pretending they never went under? 🤔

28 minutes ago, bkk6060 said:

Greatest airline in Asia.

This is sarcasm but don’t reckon it’s far off regards Asia-‘proper’—Middle East being another planet. Singapore and EVA are better but rarely had an issue with Thai. The staff are esp nice, and escaping Europe with them is always gratifying. Just don’t like this edging up of the fares long haul. They seem to be in a race with the ME airlines. 

A few day's ago we had doom and gloom figures released from the Ministry saying there worried on Declining numbers a few days later were hearing a surge of numbers on the up from Thai Airways. Who's conning who ?

21 minutes ago, BarraMarra said:

A few day's ago we had doom and gloom figures released from the Ministry saying there worried on Declining numbers a few days later were hearing a surge of numbers on the up from Thai Airways. Who's conning who ?

Tourism figures and airline profits are two completely different things.

Thai Airways Soars with $12 Billion Profits in Q2 2025

Don't think so.

No proof reading before posting 🤣

3 hours ago, lapamita said:

sure not !!  not saving on security/ maintenace  of airplanes . its due to: high  maintenance cost  airplanes are going out of the fleet, less various airplane types.

It doesnt matter how few aircraft types you have, they still need to be maintained.

So still massively in debt 👍

"Savings were also made from reduced aircraft maintenance costs." What exactly does this mean? Less maintenance or maintenance at a lower level than would normally be expected?

5 minutes ago, Photoguy21 said:

"Savings were also made from reduced aircraft maintenance costs." What exactly does this mean? Less maintenance or maintenance at a lower level than would normally be expected?

When you look a 2024 for example maintenance costs were up massively as they absorbed all the Thai Smile aircraft last year and gave them major services and overhauls. That is all done down so maintenance costs are down.

It doesn't mean they are doing less maintenance to existing planes.

1 minute ago, josephbloggs said:

When you look a 2024 for example maintenance costs were up massively as they absorbed all the Thai Smile aircraft last year and gave them major services and overhauls. That is all done down so maintenance costs are down.

It doesn't mean they are doing less maintenance to existing planes.

True but are they performing the maintenance to a good level?

2 minutes ago, Photoguy21 said:

True but are they performing the maintenance to a good level?

Yes.

2 minutes ago, josephbloggs said:

When you look a 2024 for example maintenance costs were up massively as they absorbed all the Thai Smile aircraft last year and gave them major services and overhauls. That is all done down so maintenance costs are down.

It doesn't mean they are doing less maintenance to existing planes.

So in your World if a thai Air  plane is half full they will still make a profit.

Just now, josephbloggs said:

Yes.

I assume they would be performing maintenance to a high level but if the costs are reduced something has to give.

2 minutes ago, BarraMarra said:

So in your World if a thai Air  plane is half full they will still make a profit.

Er.....what?

ourism figures and airline profits are two completely different things.

 

If planes are not full how can they make a Profit ?? Surely there losing Money.

1 minute ago, BarraMarra said:

ourism figures and airline profits are two completely different things.

 

If planes are not full how can they make a Profit ?? Surely there losing Money.

 

 

They don't have to be full to make money.

 

 

Bars don't have to be full to make money.

 

Hotels don't need to be full to make money.

10 minutes ago, josephbloggs said:

Yes.

You, like me have no idea exactly how the money will be saved. I assume that the "Yes" is an agreement to what I stated. It would be nice to know exactly on what the savings will be.

10 minutes ago, BarraMarra said:

So in your World if a thai Air  plane is half full they will still make a profit.

 

 

If their pricing is right

1 minute ago, hotandsticky said:

 

 

They don't have to be full to make money.

 

 

Bars don't have to be full to make money.

 

Hotels don't need to be full to make money.

But they do require a minimum seat occupancy in order to break even just as hotels need a minimum occupancy to be in profit.

Just now, Photoguy21 said:

But they do require a minimum seat occupancy in order to break even just as hotels need a minimum occupancy to be in profit.

 

 

Obviously.

 

 

But that does not mean "full".

Just now, hotandsticky said:

 

 

Obviously.

 

 

But that does not mean "full".

Most airlines from what I remember work on a break even point at 80% occupany

I'm not getting this if your not getting this if your Airline is not full or your Bars Empty you will still make a profit ?

 

1 minute ago, Photoguy21 said:

Most airlines from what I remember work on a break even point at 80% occupancy

 

 

I read that 50%-70% could achieve break-even depending on type of ticket sales, cargo etc.

3 hours ago, SABloke said:

Did they pay back all the bailout tax money, covid refunds etc. or are we just writing that off and pretending they never went under? 🤔

Nah

2 minutes ago, hotandsticky said:

 

 

I read that 50%-70% could achieve break-even depending on type of ticket sales, cargo etc.

I think it depends very much on the airline. BA apparently use something like 80% other airlines I am sure use different figures.