H1 profits down 25% at Hainan Airlines

Hainan Airlines has posted a 25% fall in first-half net income to CNY249.9 million ($39.4 million). The slowdown in domestic market demand, high fuel prices and the slowdown of yuan appreciation have been cited as the main reasons for drop. Operating revenue rose 20% to CNY13.89 billion, with expenses increasing by 20.4% to CNY10.52 billion. The airline benefitted from a 14.98% increase in passenger boarding to 11 million with an average load factor of 83.7%. Cargo traffic rose by 4.8% to 138,500 tonnes.