Sats Q3 profit rises 20.4% to S$84.7 million on record cargo volumes

[SINGAPORE] In-flight caterer and ground handler Sats on Friday (Feb 27) reported a net profit of S$84.7 million for its third quarter ended Dec 31, 2025, representing a 20.4 per cent increase from the S$70.4 million booked for the previous corresponding period.

The stronger performance came on the back of improved cargo volume growth across Asia, Europe and the Middle East, said the group. It added that its global network “continued to capture trade-flow shifts” driven by geopolitical developments and tariff policies.

Revenue rose 8 per cent to S$1.6 billion in Q3 FY2026, from S$1.5 billion a year earlier. The top-line growth was driven primarily by the group’s gateway services segment, in which cargo volumes rose 7.3 per cent year on year to a record-high 2.5 million tonnes.

Earnings per share came in at S$0.057, up from S$0.047 a year earlier.

For the nine months ended Dec 31, 2025, Sats booked a 14.4 per cent increase in net profit to S$234.5 million.

Nine-month revenue rose 8.7 per cent year on year to S$4.72 billion. This was supported by broad-based growth, including an 8.2 per cent increase in cargo tonnage, a 0.8 per cent rise in flights handled and a 3.6 per cent bump in aviation meals served.

Sats president and chief executive officer Kerry Mok noted that the group’s latest showing was “driven by seasonal peak demand” and marked a “ninth consecutive quarter outperforming industry benchmarks”.

For Q4, Sats expects passenger and cargo demand to moderate, though “overall cargo trends remain resilient”.

The group also expects “continued volume growth across our network, driven by market share gains and new client wins”. This, it noted, comes despite the International Air Transport Association’s “modest” 2026 global growth forecast of 2.4 to 2.6 per cent.

Sats added that its financial focus remains anchored in “operational excellence”, “strategic capital deployment”, “prudent cost discipline amid global trade uncertainties” and continued debt reduction.

Shares of Sats rose 1.3 per cent or S$0.05 to close at S$3.92 on Friday, before the results were announced.