China Southern's reports 23% profit in 2019

China Southern Airlines, based in Guangzhou, has reported a 22.9% increase in operating profits in 2019, growing to CNY 10.8 billion (USD 1.5 billion), the company said.

Revenue was up 7.4% to CNY154 billion, while net profit shrank 8.8% to CNY 2.64 billion.

Cash and cash equivalents as of 31 December 2019 fell sharply by 73% to CNY 1.85 billion.

China Southern says the coronavirus pandemic has brought about uncertainties in the group´s operating environment and has impacted the group´s operations and financial position. The company said it remains confident in its liquidity position.

The carrier´s fleet size as of 31 December 2019 was 862, a net increase of 22 aircraft compared to the end of 2018.

It introduced 54 aircraft into its fleet, including 22 on operating lease, 28 on finance lease and four purchased aircraft. It also withdrew 32 aircraft from its fleet, including 17 Airbus A320 family aircraft, six Embraer E190s, four Boeing 757s, three A330s and two 737s.