REG - Air China Ld - Interim Results for First Half of 2025
29/08/2025 07:00
For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20250829:nRSc1761Xa&default-theme=true
RNS Number : 1761X Air China Ld 29 August 2025
Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong
Limited take no responsibility for the contents of this announcement, make no
representation as to its accuracy or completeness and expressly disclaim any
liability whatsoever for any loss howsoever arising from or in reliance upon
the whole or any part of the contents of this announcement.
中國國際航空股份有限公司
AIR CHINA LIMITED
(a joint stock limited company incorporated in the People's Republic of China
with limited liability)
(Stock Code: 00753)
INTERIM RESULTS
FOR THE SIX MONTHS ENDED 30 JUNE 2025
The Board of the Company has approved, among others, the unaudited interim
results of the Group for the six months ended 30 June 2025 at a meeting of the
Board held on 28 August 2025.
INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2025
The Board presents the unaudited interim results of the Group for the six
months ended 30 June 2025 as follows:
CONSOLIDATED STATEMENT OF PROFIT OR LOSS
FOR THE SIX MONTHS ENDED 30 JUNE 2025-unaudited
(Expressed in Renminbi ("RMB"))
Six months ended 30 June
NOTES 2025 2024
RMB'000 RMB'000
Revenue 2 80,757,434 79,520,332
Other income and gains 4 2,615,845 3,250,850
83,373,279 82,771,182
Operating expenses
Jet fuel costs (24,327,485) (27,132,269)
Employee compensation costs (17,849,218) (16,953,921)
Depreciation and amortisation (14,837,638) (14,025,285)
Take-off, landing and depot charges (10,613,810) (9,963,482)
Aircraft maintenance, repair and overhaul costs (7,292,075) (6,862,447)
Air catering charges (2,104,979) (1,973,435)
Aircraft and engine lease expenses (342,162) (261,132)
Other lease expenses (366,175) (346,900)
Other flight operation expenses (4,040,914) (3,263,760)
Selling and marketing expenses (2,410,378) (2,275,875)
General and administrative expenses (797,634) (780,314)
Impairment loss recognised on non-current assets (85,154) -
Net impairment loss recognised under expected (2,087) (14,334)
credit loss model
(85,069,709) (83,853,154)
Loss from operations 5 (1,696,430) (1,081,972)
Finance income 285,792 245,615
Finance costs 6 (2,890,954) (3,265,473)
Share of results of associates 1,220,174 1,084,817
Share of results of joint ventures 117,208 91,360
Exchange gain/(losses), net 176,308 (360,422)
Loss before taxation (2,787,902) (3,286,075)
Income tax credit/(expense) 7 77,797 (252,536)
Loss for the period (2,710,105) (3,538,611)
Attributable to:
- Equity shareholders of the Company (1,804,820) (2,778,953)
- Non-controlling interests (905,285) (759,658)
(2,710,105) (3,538,611)
Loss per share
- Basic and diluted (RMB) 9 RMB(0.11) RMB(0.18)
CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
FOR THE SIX MONTHS ENDED 30 JUNE 2025-unaudited
(Expressed in RMB)
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Loss for the period (2,710,105) (3,538,611)
Other comprehensive income for the period
Items that will not be reclassified to profit or loss:
- Fair value gain/(losses) on investments in equity instruments 42,421 (86,078)
at fair value through other comprehensive income
- Remeasurement of net defined benefit liability 9 (5,741)
- Share of other comprehensive income of an associate (556) (361)
- Income tax (expense)/credit relating to items that will not be reclassified (10,291) 21,519
to profit or loss
Items that may be reclassified subsequently to profit or loss:
- Fair value (losses)/gains on investments in debt instruments (10,644) 14,619
at fair value through other comprehensive income
- Share of other comprehensive income of associates and joint ventures (362,428) 232,792
- Exchange differences on translation of foreign operations (362,807) 137,205
- Impairment loss recognised on investments in debt instruments at fair value (235) (236)
through other comprehensive income
- Income tax credit/(expense) relating to items that may be reclassified 2,720 (3,597)
subsequently to profit or loss
Other comprehensive income for the period, net of tax (701,811) 310,122
Total comprehensive income for the period (3,411,916) (3,228,489)
Attributable to:
- Equity shareholders of the Company (2,504,603) (2,433,924)
- Non-controlling interests (907,313) (794,565)
(3,411,916) (3,228,489)
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AT 30 JUNE 2025-unaudited
(Expressed in RMB)
At At
30 June
31 December
NOTES 2025 2024
RMB'000 RMB'000
Non-current assets
Property, plant and equipment 124,153,264 122,180,871
Right-of-use assets 112,987,896 118,832,142
Investment properties 676,264 693,059
Intangible assets 106,584 106,563
Goodwill 4,095,732 4,095,732
Interests in associates 14,285,989 14,632,923
Interests in joint ventures 2,486,232 2,423,853
Advance payments for aircraft and flight equipment 23,334,608 24,689,737
Deposits for aircraft under leases 532,947 526,004
Equity instruments at fair value through other comprehensive income 2,073,694 1,791,273
Debt instruments at fair value through other comprehensive income 1,290,262 1,426,851
Deferred tax assets 13,159,241 12,959,766
Other non-current assets 606,259 704,196
299,788,972 305,062,970
Current assets
Inventories 4,752,910 4,224,992
Accounts receivable 10 4,783,169 3,670,252
Bills receivable 6,402 7,785
Prepayments, deposits and other receivables 5,333,200 5,223,257
Financial assets at fair value through profit or loss 153,221 37,559
Time deposits and restricted deposits 2,591,176 1,428,429
Cash and cash equivalents 25,331,101 21,039,472
Assets held for sale 147,048 94,829
Other current assets 4,651,923 4,960,628
47,750,150 40,687,203
Total assets 347,539,122 345,750,173
At At
30 June
31 December
NOTES 2025 2024
RMB'000 RMB'000
Current liabilities
Air traffic liabilities (11,388,539) (11,098,740)
Accounts payable 11 (19,653,382) (18,869,784)
Dividends payable (98,000) (98,000)
Other payables and accruals (15,056,991) (13,437,502)
Advance (1,264) (36,270)
Current taxation (42,483) (130,653)
Lease liabilities (16,666,649) (17,464,654)
Interest-bearing borrowings (60,029,434) (74,544,705)
Provision for return condition checks (1,716,556) (758,575)
Contract liabilities (1,555,806) (1,171,172)
(126,209,104) (137,610,055)
Net current liabilities (78,458,954) (96,922,852)
Total assets less current liabilities 221,330,018 208,140,118
Non-current liabilities
Lease liabilities (53,759,875) (59,134,187)
Interest-bearing borrowings (105,722,598) (84,836,960)
Provision for return condition checks (19,507,071) (19,228,054)
Provision for early retirement benefit obligations (354) (359)
Long-term payables (720,589) (727,741)
Contract liabilities (2,650,359) (2,565,188)
Defined benefit obligations (178,238) (186,700)
Deferred income (425,901) (406,943)
Deferred tax liabilities (135,036) (128,016)
(183,100,021) (167,214,148)
NET ASSETS 38,229,997 40,925,970
CAPITAL AND RESERVES
Issued capital 17,448,421 17,448,421
Reserves 25,175,148 27,679,751
Total equity attributable to equity shareholders 42,623,569 45,128,172
of the Company
Non-controlling interests (4,393,572) (4,202,202)
TOTAL EQUITY 38,229,997 40,925,970
NOTES TO THE UNAUDITED INTERIM FINANCIAL information
FOR THE SIX MONTHS ENDED 30 JUNE 2025
(Expressed in RMB)
1. BASIS OF PREPARATION
The interim financial information for the six months ended 30 June 2025 has
been prepared in accordance with the applicable disclosure provisions of the
Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong
Limited, including compliance with International Accounting Standard ("IAS")
34, Interim Financial Reporting, issued by the International Accounting
Standards Board. It was authorised for issue on 28 August 2025.
The interim financial information has been prepared in accordance with the
same accounting policies adopted in the 2024 annual financial statements. The
Group did not have any changes to its accounting policies from those applied
in 2024.
This interim financial information contains condensed consolidated financial
statements and selected explanatory notes. The notes include an explanation of
events and transactions that are significant to an understanding of the
changes in the Group's financial position and performance since the 2024
annual financial statements. The condensed consolidated interim financial
statements and notes thereon do not include all of the information required
for a full set of financial statements prepared in accordance with IFRS
Accounting Standards.
The interim financial information is unaudited, but has been reviewed by KPMG
in accordance with Hong Kong Standard of Review Engagements 2410, Review of
interim financial information performed by the independent auditor of the
entity, issued by the Hong Kong Institute of Certified Public Accountants.
As at 30 June 2025, the Group's current liabilities exceeded its current
assets by approximately RMB78,459 million. The liquidity of the Group is
primarily dependent on its ability to maintain cash inflows from operations
and sufficient financing to meet its financial obligations as and when they
fall due. Considering the Company's sources of liquidity and the unutilised
bank facilities of RMB180,093 million as at 30 June 2025, the Directors
believe that the Group has sufficient sources of financing to enable it to
operate, as well as to meet its liabilities as and when they become due, and
to support its capital expenditures in the foreseeable future of not less than
twelve months from the end of the reporting period. Accordingly, this interim
financial information has been prepared on a going concern basis.
2. REVENUE
Disaggregation of revenue
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Revenue from contracts with customers
Airline operations
Passenger 73,196,376 73,137,116
Cargo and mail 3,577,468 3,328,452
Others 921,734 859,569
77,695,578 77,325,137
Other operations
Aircraft engineering income 2,825,795 2,023,821
Others 61,703 57,751
2,887,498 2,081,572
Sub-total 80,583,076 79,406,709
Rental income (included in revenue of airline operations segment) 174,358 113,623
Total revenue 80,757,434 79,520,332
3. SEGMENT INFORMATION
The Group's businesses are structured and managed, according to the nature of
its operations and the services it provides. The Group has the following
reportable operating segments:
(a) the "airline operations" segment which mainly comprises the
provision of air passenger and air cargo services; and
(b) the "other operations" segment which comprises the provision of
aircraft engineering and other airline-related services.
Inter-segment sales and transfers are transacted with reference to the then
prevailing market prices.
The Company's chief operating decision maker monitors the results, assets and
liabilities of the Group based on the financial results prepared in accordance
with the Accounting Standards for Business Enterprises issued by the Ministry
of Finance of the PRC ("CASs"). As such, the segment information is presented
in accordance with CAS with reconciliation to financial information presented
in IFRS Accounting Standards.
For the six months ended 30 June 2025
Airline operations Other operations Elimination Total
RMB'000 RMB'000 RMB'000 RMB'000
Revenue
Sales to external customers 77,869,936 2,887,498 - 80,757,434
Inter-segment sales 106,983 4,426,862 (4,533,845) -
Segment revenue under CASs and 77,976,919 7,314,360 (4,533,845) 80,757,434
IFRS Accounting Standards
Segment results before taxation
(Loss)/profit before taxation for (3,185,233) 388,330 7,862 (2,789,041)
reportable segments under CASs
Effect of differences between IFRS Accounting Standards and CASs 1,139
Loss before taxation for the period under IFRS Accounting Standards (2,787,902)
For the six months ended 30 June 2024
Airline operations Other operations Elimination Total
RMB'000 RMB'000 RMB'000 RMB'000
Revenue
Sales to external customers 77,438,760 2,081,572 - 79,520,332
Inter-segment sales 106,388 4,343,972 (4,450,360) -
Segment revenue under CASs and 77,545,148 6,425,544 (4,450,360) 79,520,332
IFRS Accounting Standards
Segment results before taxation
(Loss)/profit before taxation for (3,715,694) 502,625 (77,722) (3,290,791)
reportable segments under CASs
Effect of differences between IFRS Accounting Standards and CASs 4,716
Loss before taxation for the period under IFRS Accounting Standards (3,286,075)
As at 30 June 2025/31 December 2024
Airline operations Other operations Elimination Total
RMB'000 RMB'000 RMB'000 RMB'000
Segment assets
Segment assets as at 30 June 2025 334,218,916 29,253,558 (15,914,966) 347,557,508
under CASs
Effect of differences between IFRS Accounting Standards and CASs (18,386)
Total assets as at 30 June 2025 under IFRS Accounting Standards 347,539,122
Segment assets as at 31 December 2024 under CASs 335,387,462 35,068,041 (24,686,091) 345,769,412
Effect of differences between IFRS Accounting Standards and CASs (19,239)
Total assets as at 31 December 2024 under IFRS Accounting Standards 345,750,173
Segment liabilities
Segment liabilities under CASs and IFRS Accounting Standards
As at 30 June 2025 304,360,027 20,338,559 (15,389,461) 309,309,125
As at 31 December 2024 301,829,477 27,135,795 (24,141,069) 304,824,203
Geographical information
The following tables present the Group's consolidated revenue to external
customers by geographical location for the six months ended 30 June 2025 and
2024:
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Chinese Mainland 56,277,430 57,960,673
Hong Kong SAR, Macau SAR and Taiwan, China 2,539,842 2,484,032
International 21,940,162 19,075,627
80,757,434 79,520,332
In determining the Group's geographical information, revenue is based on the
origin and destination of each flight. Assets, which principally consist of
aircraft and ground equipment, supporting the Group's worldwide transportation
network, are mainly registered/located in Chinese Mainland. According to the
business demand, the Group flexibly allocates aircraft to match the need of
the route network. An analysis of the assets of the Group by geographical
distribution has therefore not been presented.
There was no individual customer that contributed 10% or more of the Group's
revenue for both periods presented.
4. OTHER INCOME AND GAINS
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Co-operation routes income and subsidy income 2,407,102 2,232,415
Gains on disposal of property, plant and equipment 22,327 775,226
and right-of-use assets
Loss on disposal of assets held for sale - (7,907)
Dividend income 13,131 5,935
Others 173,285 245,181
2,615,845 3,250,850
5. LOSS FROM OPERATIONS
The Group's loss from operations is arrived at after charging:
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Depreciation of property, plant and equipment 7,072,151 6,505,225
Depreciation of right-of-use assets 7,748,718 7,503,289
Depreciation of investment properties 16,767 16,767
Amortisation of intangible assets 2 4
6. FINANCE COSTS
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Interest on interest-bearing borrowings 1,951,327 2,215,565
Interest on lease liabilities 1,114,236 1,192,838
Imputed interest expenses on defined benefit obligations 5,147 2,628
3,070,710 3,411,031
Less: Interest capitalised (179,756) (145,558)
2,890,954 3,265,473
The interest capitalisation rates during the period ranged from 1.95% to 2.80%
(six months ended 30 June 2024: 2.40% to 4.45%) per annum relating to the
costs of related borrowings during the period.
7. INCOME TAX (CREDIT)/EXPENSE
Six months ended 30 June
2025 2024
RMB'000 RMB'000
Current income tax:
- Chinese Mainland 120,343 201,017
- Other tax jurisdictions 895 887
Under provision in respect of prior years 1,525 431
Deferred tax (200,560) 50,201
(77,797) 252,536
Under the Law of the PRC on Enterprise Income Tax (the "EIT Law") and
Implementation Regulation of the EIT Law, except for certain branches and
subsidiaries of the Group which are taxed at a preferential rate of 15%, all
group companies located in Chinese Mainland are subject to an income tax rate
of 25% (six months ended 30 June 2024: 25%). Subsidiaries in Hong Kong SAR,
China are taxed at profits tax rate of 16.5%, and subsidiaries in Macau SAR,
China are taxed at profits tax rate of 12%, for both periods.
8. DIVIDENDS
In accordance with the Company's articles of association, the profit after tax
of the Company for the purpose of dividend distribution is based on the lesser
of (i) the profit determined in accordance with CASs; and (ii) the profit
determined in accordance with IFRSs.
(a) Dividends payable to equity shareholders attributable to the interim
period
No interim dividend has been declared by the Directors for the six months
ended 30 June 2025 (six months ended 30 June 2024: Nil).
(b) Dividends payable to equity shareholders attributable to the
previous financial year, approved during the current interim period
No dividend has been declared by the Directors for the financial year of 2024
during the six months ended 30 June 2025 (six months ended 30 June 2024: Nil).
9. LOSS PER SHARE
The calculation of the basic loss per share is based on the loss attributable
to ordinary equity shareholders of the Company of RMB1,805 million (six months
ended 30 June 2024: RMB2,779 million) and the weighted average number of
16,658,566,736 (six months ended 30 June 2024: 15,723,985,056) ordinary shares
in issue during the period, as adjusted to reflect the effect of reciprocal
shareholding with Cathay Pacific Airways Limited ("Cathay Pacific").
The Group had no potential ordinary shares in issue during both periods. The
basic loss per share is the same as the diluted loss per share.
10. ACCOUNTS RECEIVABLE
The ageing analysis of the accounts receivable as at the end of the reporting
period, based on the transaction date, net of allowance for expected credit
losses, was as follows:
At At
30 June
31 December
2025
2024
RMB'000 RMB'000
Within 30 days 3,640,790 2,963,962
31 to 60 days 499,885 147,934
61 to 90 days 76,653 139,120
Over 90 days 565,841 419,236
4,783,169 3,670,252
11. ACCOUNTS PAYABLE
The ageing analysis of the accounts payable, based on the transaction date, as
at the end of the reporting period was as follows:
At At
30 June
31 December
2025
2024
RMB'000 RMB'000
Within 30 days 8,148,551 8,354,764
31 to 60 days 2,286,119 2,009,755
61 to 90 days 4,623,235 4,806,725
Over 90 days 4,595,477 3,698,540
19,653,382 18,869,784
SUMMARY OF OPERATING DATA
The following is the operating data summary of the Company, Shenzhen Airlines
(including Kunming Airlines), Shandong Airlines, Beijing Airlines, Dalian
Airlines, Air China Inner Mongolia and Air Macau.
January to June 2025 January to Increase/
June 2024
(decrease)
Capacity
ASK (million) 177,576.14 171,790.89 3.37%
International 51,445.77 44,082.60 16.70%
Mainland China 121,132.50 122,675.40 (1.26%)
Hong Kong SAR, Macau SAR and Taiwan, China 4,997.87 5,032.90 (0.70%)
AFTK (million) 6,425.74 6,122.03 4.96%
International 3,055.74 2,577.25 18.57%
Mainland China 3,246.51 3,409.83 (4.79%)
Hong Kong SAR, Macau SAR and Taiwan, China 123.50 134.96 (8.49%)
ATK (million) 22,428.25 21,606.69 3.80%
Traffic
RPK (million) 143,336.58 136,213.57 5.23%
International 39,337.74 33,625.02 16.99%
Mainland China 100,349.17 98,966.23 1.40%
Hong Kong SAR, Macau SAR and Taiwan, China 3,649.66 3,622.31 0.75%
RFTK (million) 2,408.59 2,237.13 7.66%
International 1,560.66 1,409.88 10.69%
Mainland China 817.46 795.51 2.76%
Hong Kong SAR, Macau SAR and Taiwan, China 30.47 31.74 (4.01%)
Passengers carried (thousand) 77,114.33 74,959.47 2.87%
International 8,939.31 7,535.97 18.62%
Mainland China 65,835.77 65,161.14 1.04%
Hong Kong SAR, Macau SAR and Taiwan, China 2,339.26 2,262.37 3.40%
Cargo and mail carried (tonnes) 735,334.14 701,598.29 4.81%
Kilometres flown (million) 922.72 896.88 2.88%
Block hours (thousand) 1,465.36 1,438.31 1.88%
Number of flights 504,285 498,613 1.14%
International 56,194 47,201 19.05%
Mainland China 430,131 434,608 (1.03%)
Hong Kong SAR, Macau SAR and Taiwan, China 17,960 16,804 6.88%
RTK (million) 15,050.36 14,229.30 5.77%
Load factor
Passenger load factor (RPK/ASK) 80.72% 79.29% 1.43 pp
International 76.46% 76.28% 0.19 pp
Mainland China 82.84% 80.67% 2.17 pp
Hong Kong SAR, Macau SAR and Taiwan, China 73.02% 71.97% 1.05 pp
Cargo and mail load factor (RFTK/AFTK) 37.48% 36.54% 0.94 pp
International 51.07% 54.70% (3.63 pp)
Mainland China 25.18% 23.33% 1.85 pp
Hong Kong SAR, Macau SAR and Taiwan, China 24.67% 23.52% 1.15 pp
Overall load factor (RTK/ATK) 67.10% 65.86% 1.25 pp
Utilisation
Daily utilisation of aircraft 8.76 8.79 (0.03 hours)
(block hours per day per aircraft)
Yield
Yield per RPK (RMB) 0.5107 0.5369 (4.88%)
International 0.4889 0.4927 (0.77%)
Mainland China 0.5134 0.5475 (6.23%)
Hong Kong SAR, Macau SAR and Taiwan, China 0.6683 0.6578 1.60%
Yield per RFTK (RMB) 1.4853 1.4878 (0.17%)
International 1.7344 1.7792 (2.52%)
Mainland China 0.9419 0.9035 4.25%
Hong Kong SAR, Macau SAR and Taiwan, China 3.3024 3.1906 3.50%
Unit cost
Operating expenses per ASK (RMB) 0.4791 0.4881 (1.84%)
Operating expenses per ATK (RMB) 3.7930 3.8809 (2.26%)
DEVELOPMENT OF FLEET
During the first half of 2025, the Group introduced a total of nine aircraft,
including one A320 series aircraft, five B737 series aircraft, one C919
aircraft and two C909 aircraft, and phased out a total of five aircraft,
including one A330 series aircraft, three A320 series aircraft and one
business jet. As at the end of the Reporting Period, the Group had a total of
934 aircraft with an average age of 10.28 years, of which the Company operated
a fleet of 510 aircraft in total, with an average age of 9.92 years. During
the Reporting Period, the Company introduced eight aircraft and phased out two
aircraft.
Details of the fleet of the Group are set out in the table below:
30 June 2025
Sub-total Self-owned Finance leases Operating leases Average age (year)
Airbus 430 196 115 119 10.14
A320 347 165 90 92 10.35
A330 53 21 5 27 12.18
A350 30 10 20 - 4.13
Boeing 462 191 97 174 11.11
B737 410 156 88 166 11.08
B747 10 8 2 - 15.97
B777 28 17 5 6 11.21
B787 14 10 2 2 8.36
COMAC 39 27 12 - 2.02
C909 35 23 12 - 2.19
C919 4 4 - - 0.52
Business jets 3 1 - 2 9.31
Total 934 415 224 295 10.28
Introduction Plan Phase-out Plan
2025 2026 2027 2025 2026 2027
Airbus 22 27 24 13 13 3
A320 22 27 24 9 13 3
A330 - - - 4 - -
Boeing 13 2 21 5 1 1
B737 13 - 12 4 1 1
B747 - - - 1 - -
B787 - 2 9 - - -
COMAC 12 10 10 - - -
C909 2 - - - - -
C919 10 10 10 - - -
Total 47 39 55 18 14 4
Note: Please refer to the actual operation for the introduction and
phase-out of the Group's fleet in the future.
BUSINESS OVERVIEW
Safe Operations
Comprehensively implementing the holistic approach to national security, the
Group reinforced safety accountability with resolute political commitment,
unwaveringly upholding the principle of "safety first". The annual key safety
tasks were rigorously advanced, with the Group's leadership team conducting
safety supervision and field research at seven subsidiaries and branches.
Steady progress was made in the three-year action plan for fundamental
improvement in workplace safety. This included formulating implementation
plans for safety production, comprehensively strengthening process management,
and continuously enhancing safety operation systems across key areas such as
safety management, flight training, operational management, aircraft
maintenance, risk identification and hidden hazard identification and
mitigation, dangerous goods air transportation, aviation security as well as
fire and construction safety. Focusing on complex operational environments and
critical production processes, the Group applied to "human error, equipment
failure, environmental factors and deficiencies management
(人、機、環、管)" framework to rigorously enforce risk controls. During
the Reporting Period, the Group achieved 1.465 million safe flight hours while
successfully executing multiple charter flights and special missions including
repatriation of overseas cultural relics, earthquake relief and rescue in
Myanmar and Tibet and emergency evacuations from Iran, all demonstrating the
Group's strong political accountability and commitment to social
responsibilities.
Operational Performance
The Group made solid strides in enhancing quality and efficiency, steadfastly
anchoring its efforts to achieve the annual business objectives. The Group
adhered to implementing the "Four Maximizations" production organization
principle to increase the scale of effective input. The hub network strategy
was further advanced, with continuous optimization of the flight route network
and meticulous development of domestic express routes to strengthen
competitive edges. The Group steadily pushed forward the launch of new
international routes and resumption of suspended ones, prioritizing market
expansion along the "Belt and Road" initiative. The Group continuously
enhanced its product marketing and innovation capabilities. Product design was
continually refined to cater to passengers' differentiated needs, with
innovative upgrades to distinctive tailored offerings such as the "Phoenix
Junior Program
(新生旅客計劃)", the "Silver Age Plan (活力銀齡計劃)" and the
"Student Zone (學生專區)". The Group also deepened customer orientation by
implementing a dedicated client manager system, elevating the experience of
core customer groups and bolstering the Company's reputation. The Group
continued to reinforce synergistic development to extend the breadth and depth
of the route network, and conducted joint thematic marketing initiatives to
sharpen the core competitiveness. Cost control was advanced, with focused
efforts on unlocking potential savings and enhancing overall profitability.
The Group continuously strengthened the financial coordination, enhanced debt
risk management, improved capital utilization efficiency while ensuring fund
security to reduce financial costs.
Service Quality
Guided by the "people-centered" development philosophy and anchored to the
goal of building a world-class aviation transportation group, the Group made
steady progress in its annual priority tasks of creating "Four First-class
(四個一流)" services. By continuously advancing the development of the
service quality management system, enhancing service standards, deepening
product and service innovation and focusing on driving digital upgrades across
the entire service process, the Group promoted its high-quality development
through service excellence.
Adhering to a problem-oriented approach, the Group revised its key service
standards such as service compensation policies, optimized satisfaction survey
analysis and established coordinated ticketing policy and payment monitoring
mechanisms to precisely improve passenger experiences. Branded service
products were further developed, including the launch of the new "Zichen
(紫宸)" premium lounge in Urumqi and the addition of "Hangzhou-Chengdu"
express route and "Chongqing-Shenzhen" city express route, enriching the
express route portfolio. To enhance passenger convenience, the Group enriched
in-app payment methods and introduced multiple features such as passport chip
scanning and cross-airline special service bookings, extended intercity
air-rail intermodal service coverage to 73 cities and expanded domestic
through-check-in flight services to 21 locations. The Group accelerated the
development and rollout of service system platforms, with the officially full
operation of an end-to-end passenger notification system. In-flight meal
reservation service was extended to all domestic flights, providing superior
service to passengers. Intelligent customer service provides passengers with
inquiry and response services including flight status queries and pre-flight
instructions. The passenger service compensation system, service knowledge
database and other service production support systems have been upgraded,
further enhancing digital capabilities in both service and management.
Digital Transformation
The Group accelerated the digital and intelligent transformation across all
business domains. In terms of safety operations, the global ground flight
support platform achieved full coverage across all branches, enabling flight
monitoring visualization, intelligent shift scheduling and mobile operations
for frontline staff, significantly enhancing ground support capabilities.
Supported by the intelligent route engineer platform, engineers were empowered
to formulate fault response plans, enhance maintenance efficiency, and boost
safety management capabilities through technological innovation. In terms of
marketing and services, all business model phase II projects were launched,
delivering enhanced precision marketing and diversified product management,
enabling rapid and flexible configuration of air tickets and products and
expanded sales channels. The Group actively promoted artificial intelligence
(AI) adoption, developing key applications including intelligent customer
service and smart maintenance. In-flight meal reservation services achieved
full coverage across all domestic flights, with intelligent customer service
providing passengers with smart voice-enabled Q&A support. The centralized
departure control business attained complete implementation at all Air China's
flight destinations. Service production support systems, including the
passenger service compensation systems, service knowledge database and others,
underwent upgrades and iterations. The Group also established a comprehensive
AI+ platform to enable centralized and intensive sharing of AI resources
across the organization, providing foundational support for the implementation
of AI applications throughout all operational domains.
Brand Value
Aligned with the goal of building a "world-renowned brand" as part of its
world-class enterprise development strategy, the Group continuously
strengthened its integrated online-offline and air-ground synergistic
three-dimensional communication system, focusing on creating a globally
leading brand. Participating in the 20th Western China International Fair,
under the theme "Harnessing Western Momentum for Global Connections
(乘西部之風 赴世界之約)", the Group showcased its role as the
national flag carrier in serving national strategies and empowering regional
economies with solid results. The Group actively carried out its overseas
brand promotion, accelerating the establishment of a brand management and
international communication framework. At the 2025 Brand Global Communication
Conference (2025品牌全球傳播力大會), Air China ranked 26th on the
"2025 China Brands Global Influence Index
(2025中國品牌全球傳播力總榜)", as the only airline included in the
ranking. According to the evaluation released by World Brand Lab, Air China
ranked 25th in the "China's Top 500 Most Valuable Brands" for 2025 with a
brand value of RMB275.576 billion, maintaining its leading position in China's
aviation service industry.
MANAGEMENT DISCUSSION AND ANALYSIS ON FINANCIAL CONDITIONS AND RESULTS OF
OPERATIONS
The following discussion and analysis are based on the Group's interim
condensed consolidated financial statements and notes thereto which were
prepared in accordance with International Accounting Standard 34, Interim
Financial Reporting, as well as the applicable disclosure requirements under
Appendix D2 to the Listing Rules and are designed to assist the readers in
further understanding the information provided in this announcement so as to
better understand the financial conditions and results of operations of the
Group as a whole.
Revenue
During the Reporting Period, the Group's revenue was RMB80,757 million,
representing a year-on-year increase of RMB1,237 million or 1.56%. Among them,
air traffic revenue was RMB76,774 million, representing a year-on-year
increase of RMB308 million or 0.40%; other operating revenue was RMB3,983
million, representing a year-on-year increase of RMB929 million or 30.41%.
Revenue Contributed by Geographical Segments
For the six months ended 30 June
2025 2024
(in RMB'000) Amount Percentage Amount Percentage Change
International 21,940,162 27.17% 19,075,627 23.99% 15.02%
Mainland China 56,277,430 69.69% 57,960,673 72.89% (2.90%)
Hong Kong SAR, Macau SAR 2,539,842 3.14% 2,484,032 3.12% 2.25%
and Taiwan, China
Total 80,757,434 100.00% 79,520,332 100.00% 1.56%
Air Passenger Revenue
During the Reporting Period, the Group recorded an air passenger revenue of
RMB73,196 million, representing a year-on-year increase of RMB59 million.
Among the air passenger revenue, the increase of capacity resulted in an
increase in revenue of RMB2,463 million, and the increase of passenger load
factor resulted in an increase in revenue of RMB1,361 million, while the
decrease of passenger yield resulted in a decrease in revenue of RMB3,765
million. The capacity, passenger load factor and yield per RPK of air
passenger business during the Reporting Period are as follows:
For the six months ended 30 June
2025 2024 Change
Available seat kilometres (million) 177,576.14 171,790.89 3.37%
Passenger load factor (%) 80.72 79.29 1.43 pp
Yield per RPK (RMB) 0.5107 0.5369 (4.88%)
Air Passenger Revenue Contributed by Geographical Segments
For the six months ended 30 June
2025 2024
(in RMB'000) Amount Percentage Amount Percentage Change
International 19,233,312 26.28% 16,567,178 22.65% 16.09%
Mainland China 51,523,843 70.39% 54,187,183 74.09% (4.92%)
Hong Kong SAR, Macau SAR and Taiwan, China 2,439,221 3.33% 2,382,755 3.26% 2.37%
Total 73,196,376 100.00% 73,137,116 100.00% 0.08%
Air Cargo and Mail Revenue
During the Reporting Period, the Group's air cargo and mail revenue was
RMB3,577 million, representing a year-on-year increase of RMB249 million.
Among which, the increase of capacity contributed to an increase in revenue of
RMB165 million, and the increase of cargo and mail load factor resulted in an
increase in revenue of RMB90 million, while the decrease of yield of cargo and
mail business resulted in a decrease in revenue of RMB6 million. The capacity,
cargo and mail load factor and yield per RFTK of air cargo and mail business
during the Reporting Period are as follows:
For the six months ended 30 June
2025 2024 Change
Available freight tonne kilometres (million) 6,425.74 6,122.03 4.96%
Cargo and mail load factor (%) 37.48 36.54 0.94 pp
Yield per RFTK (RMB) 1.4853 1.4878 (0.17%)
Air Cargo and Mail Revenue Contributed by Geographical Segments
For the six months ended 30 June
2025 2024
(in RMB'000) Amount Percentage Amount Percentage Change
International 2,706,850 75.67% 2,508,449 75.36% 7.91%
Mainland China 769,997 21.52% 718,726 21.59% 7.13%
Hong Kong SAR, Macau SAR and Taiwan, China 100,621 2.81% 101,277 3.05% (0.65%)
Total 3,577,468 100.00% 3,328,452 100.00% 7.48%
OPERATING EXPENSES
During the Reporting Period, the Group's operating expenses increased by
RMB1,217 million on a year-on-year basis to RMB85,070 million, representing an
increase of 1.45%. The breakdown of the operating expenses is set out below:
For the six months ended 30 June
2025 2024
(in RMB'000) Amount Percentage Amount Percentage Change
Jet fuel costs 24,327,485 28.60% 27,132,269 32.36% (10.34%)
Take-off, landing and depot charges 10,613,810 12.48% 9,963,482 11.88% 6.53%
Depreciation and amortisation 14,837,638 17.44% 14,025,285 16.73% 5.79%
Aircraft maintenance, repair and overhaul costs 7,292,075 8.57% 6,862,447 8.18% 6.26%
Employee compensation costs 17,849,218 20.98% 16,953,921 20.22% 5.28%
Air catering charges 2,104,979 2.47% 1,973,435 2.35% 6.67%
Selling and marketing expenses 2,410,378 2.83% 2,275,875 2.71% 5.91%
General and administrative expenses 797,634 0.94% 780,314 0.93% 2.22%
Others 4,836,492 5.69% 3,886,126 4.64% 24.46%
Total 85,069,709 100.00% 83,853,154 100.00% 1.45%
• Jet fuel costs decreased by RMB2,805 million on a year-on-year
basis, mainly due to the combined effect of the decrease in the prices of jet
fuel and increase in the consumption of jet fuel.
• Take-off, landing and depot charges increased by RMB650 million
on a year-on-year basis, mainly due to the year-on-year increase in the number
of take-offs and landings.
• Depreciation and amortisation expenses increased by RMB812
million on a year-on-year basis, mainly due to the expansion of fleet as well
as the year-on-year increase in flying hours.
• Aircraft maintenance, repair and overhaul costs increased by
RMB430 million on a year-on- year basis, mainly due to the year-on-year
increase in flying hours.
• Employee compensation costs increased by RMB895 million on a
year-on-year basis, mainly due to the year-on-year increase in flight hour
fees.
• Air catering charges increased by RMB132 million on a
year-on-year basis, mainly due to the increase in the number of passengers.
• Selling and marketing expenses increased by RMB135 million on a
year-on-year basis, mainly due to the increase in booking fees resulting from
the increase in the sales volumes and the number of passengers.
• Other operating expenses mainly included the Civil Aviation
Development Fund and ordinary expenses arising from the core air traffic
business that are not included in the aforementioned specific items, which
increased by RMB950 million on a year-on-year basis, mainly due to the effect
of the increase in the investment in production and operation and changes in
contract performance costs of aircraft maintenance subsidiaries.
Net Exchange Gain and Finance Costs
During the Reporting Period, the Group recorded a net exchange gain of RMB176
million, as compared to the net exchange loss of RMB360 million for the same
period last year. The Group incurred finance costs of RMB2,891 million
(excluding those capitalised) during the Reporting Period, representing a
year-on-year decrease of RMB375 million.
Share of Results of Associates and Joint Ventures
During the Reporting Period, the Group's share of profits of its associates
was RMB1,220 million, representing a year-on-year increase of RMB135 million.
The Group recognised share of profit from Cathay Pacific of RMB1,174 million
during the Reporting Period, representing a year-on-year increase of RMB106
million.
During the Reporting Period, the Group's share of profits of its joint
ventures was RMB117 million, representing a year-on-year increase of RMB26
million.
Assets Structure Analysis
At the end of the Reporting Period, the total assets of the Group were
RMB347,539 million, representing an increase of 0.52% from that as at 31
December 2024. Among them, the current assets accounted for RMB47,750 million
or 13.74% of the total assets, while the non-current assets accounted for
RMB299,789 million or 86.26% of the total assets.
Among the current assets, cash and cash equivalents were RMB25,331 million,
representing an increase of 20.40% from that as at 31 December 2024, which was
mainly due to the Company's flexible adjustment of its funds according to its
capital arrangements.
Among the non-current assets, the book values of property, plant and equipment
and right- of-use assets as at the end of the Reporting Period amounted to
RMB237,141 million, representing a decrease of 1.61% from that as at 31
December 2024.
Asset Mortgage/Pledge
At the end of the Reporting Period, the Group, pursuant to certain bank loan
agreements, had secured aircraft and buildings with an aggregate book value of
approximately RMB4,669 million (RMB3,825 million as at 31 December 2024) and
land use rights with book value of approximately RMB23 million (RMB23 million
as at 31 December 2024). Meanwhile, the Group had restricted monetary funds of
approximately RMB2,591 million (RMB1,428 million as at 31 December 2024),
which were mainly statutory reserves deposited in the People's Bank of China,
pledged bank deposits, security deposits and time deposits with a maturity of
more than three months.
Capital Expenditure
During the Reporting Period, the Group's capital expenditure amounted to a
total of RMB5,859 million. Among this, aircraft-related investments totalled
RMB2,362 million, primarily covering the acquisition of aircraft and engines,
aircraft modifications and retrofitting, as well as flight simulators. Cash
portion of long-term investment projects amounted to RMB2,726 million,
including capital injection projects for Air Macau, Air China Inner Mongolia
and Sichuan Airlines Co., Ltd. Other capital expenditure project investments
amounted to RMB771 million, mainly covering infrastructure construction,
information system development and ground equipment procurement.
Equity Investment
As at the end of the Reporting Period, the Group's equity investment in its
associates amounted to RMB14,286 million, representing a decrease of 2.37%
from that of 31 December 2024. Among this, the balance of the equity
investment of the Group in Cathay Pacific amounted to RMB13,951 million.
As at the end of the Reporting Period, the Group's equity investment in its
joint ventures was RMB2,486 million, representing an increase of 2.57% from
that as at 31 December 2024.
Debt Structure Analysis
At the end of the Reporting Period, the Group's total liabilities were
RMB309,309 million, representing an increase of 1.47% from that as at 31
December 2024. Among them, current liabilities amounted to RMB126,209 million,
accounting for 40.80% of the total liabilities; and non-current liabilities
amounted to RMB183,100 million, accounting for 59.20% of the total
liabilities.
Among the current liabilities, interest-bearing debts (including
interest-bearing borrowings and lease liabilities) amounted to RMB76,696
million, representing a decrease of 16.64% from that as at 31 December 2024.
Among the non-current liabilities, interest-bearing debts (including
interest-bearing borrowings and lease liabilities) amounted to RMB159,483
million, representing an increase of 10.77% from that as at 31 December 2024.
Details of interest-bearing liabilities of the Group categorised by currency
are set out below:
30 June 2025 31 December 2024
(in RMB'000) Amount Percentage Amount Percentage Change
RMB 209,851,014 88.85% 205,662,318 87.15% 2.04%
US dollars 25,877,883 10.96% 29,874,295 12.66% (13.38%)
Others 449,659 0.19% 443,893 0.19% 1.30%
Total 236,178,556 100.00% 235,980,506 100.00% 0.08%
As at the end of the Reporting Period, the Group did not use financial
instruments for hedging purposes.
Commitments
The Group's capital commitments, which mainly consisted of the expenditure in
the next few years for purchasing certain aircraft and related equipment,
decreased by 2.07% from RMB95,175 million as at 31 December 2024 to RMB93,200
million as at the end of the Reporting Period. The Group's investment
commitments, which were mainly used for the investment agreements that have
been signed and come into effect, amounted to RMB267 million as at the end of
the Reporting Period, as compared with RMB313 million as at 31 December 2024.
Contingent Liabilities
At the end of the Reporting Period, the Group had no material contingent
liabilities.
Gearing Ratio
As at the end of the Reporting Period, the Group's gearing ratio (total
liabilities divided by total assets) was 89.00%, representing an increase of
0.84 percentage points from that of 31 December 2024.
Working Capital and Its Sources
As at the end of the Reporting Period, the Group's net current liabilities
(current liabilities less current assets) were RMB78,459 million, representing
a decrease of RMB18,464 million from that as at 31 December 2024. The Group's
current ratio (current assets divided by current liabilities) was 0.38,
representing an increase of 0.08 as compared to that as at 31 December 2024.
The Group meets its working capital needs mainly through its operating
activities and external financing activities. During the Reporting Period, the
Group's net cash inflow from operating activities was RMB14,828 million,
representing an increase of 4.03% from RMB14,253 million for the corresponding
period in 2024. Net cash outflow from investing activities was RMB7,338
million, representing a decrease of 10.26% from RMB8,177 million for the
corresponding period in 2024, mainly due to a year-on-year decrease in
expenditures for the purchase of debt instruments measured at amortised cost.
Net cash outflow from financing activities amounted to RMB3,218 million,
representing an increase of 178.99% from RMB1,154 million for the
corresponding period in 2024, mainly due to the repayment of bank loans and
other borrowings during the current period.
At the end of the Reporting Period, the Company has obtained certain bank
facilities of up to RMB278,622 million granted by several banks in the PRC,
among which approximately RMB98,529 million has been utilised and
approximately RMB180,093 million remained unutilised. The remaining amount is
sufficient to meet its demands on liquidity and future capital commitments.
POTENTIAL RISKS
1. Risks of External Environment
Market Fluctuation
Relying on the super-sized domestic demand market, the domestic aviation
market is expected to achieve steady growth. Against the backdrop of rapidly
evolving global political, economic and trade dynamics, uncertainties persist
in the development of the Company's traditionally strong international
markets, particularly in North America. The Group will fully, precisely and
comprehensively implement the new development philosophy, proactively support
and integrate into the new development paradigm, anchor efforts on the
domestic circulation, better support high-standard opening up, increase the
international fleet capacity deployment, optimize its structure, and actively
explore and cultivate emerging markets relating to the "Belt and Road"
initiative.
Oil Price Fluctuation
Jet fuel is one of the major operating costs of the Group. The performance of
the Group is affected to a certain extent by fluctuations in jet fuel prices.
During the Reporting Period, with all other variables remaining unchanged, a
5% increase or decrease in the average jet fuel price would lead to a
corresponding approximate increase or decrease of RMB1,216 million in the
Group's jet fuel costs. The imposition of fuel surcharges has alleviated the
Group's jet fuel cost pressure to some extent.
Exchange Rate Fluctuation
The Group's certain assets and liabilities are denominated in US dollar, while
a portion of international revenue and expenses of the Group are settled in
currencies other than RMB. Assuming all other risk variables remain unchanged,
a 1% appreciation or depreciation of RMB against the US dollar would result in
an increase or decrease of RMB133 million in the Group's net profit and
shareholders' equity as of 30 June 2025.
2. Risks of Competition
Industry competition
During the Reporting Period, as there was no significant reduction in the
number of operating entities in the market, the Company continued to face
relatively intense industry competition. The domestic market maintained a
supply-demand imbalance characterized by increasing volume but declining
prices. Influenced by market recovery, traffic right allocation and other
factors, the resumption and launch of new international routes mainly
concentrated in destinations such as Central Asia, West Asia and Europe,
resulting in an intense competition in certain regions. Adhering to its
strategy for hub network, the Company will devote efforts to building the
Beijing-Chengdu dual-hub with a focus on developing strategic markets
including the "Four-Pole Clusters" and Xinjiang, thereby achieving
differentiated development from other market competitors. Consistent efforts
will be made to optimize competitive domestic and international route networks
centering around hubs as well as principal bases and markets, while
introducing efficient and convenient domestic route and express route products
to strengthen core market competitiveness through high-quality products and
services.
Alternative competition
As the world's largest high-speed railway network further expanded, there is
an ongoing risk of passenger diversion in short- and medium-distance
transportation. In the long run, high-speed railway will reshape China's
economic geography. The civil aviation sector shall give full play to its
comparative advantages within the comprehensive transportation system by
increasing fleet capacity on domestic long-haul and international routes, and
expanding public travel services to remote regions. Meanwhile, leveraging
air-rail intermodal transport as a key support for the development of aviation
hubs, advancing the optimization and upgrade of transit products, and
delivering universally accessible, high-quality integrated transportation
services to the public.
PURCHASES, SALES OR REDEMPTION OF LISTED SECURITIES
During the Reporting Period, neither the Company nor any of its subsidiaries
purchased, sold or redeemed any listed securities of the Company (including
the sales of treasury shares (as defined in the Listing Rules)) (the term
"securities" has the meaning ascribed to it under paragraph 1 of Appendix D2
to the Listing Rules).
INTERIM DIVIDEND
No interim dividend will be paid by the Company for the six months ended 30
June 2025.
SUBSEQUENT EVENTS
On 31 July 2025, Mr. Huen Ho Yin ("Mr. Huen") resigned as the joint company
secretary of the Company with effect from 1 August 2025. Mr. Xiao Feng will
continue to serve and act as the sole company secretary of the Company after
the resignation of Mr. Huen. Mr. Xiao Feng has been admitted as a fellow of
both The Hong Kong Chartered Governance Institute and The Chartered Governance
Institute. Mr. Leung Yik Fung replaced Mr. Huen as the agent of the Company
for accepting service of process and notices on behalf of the Company in Hong
Kong under Rule 19A.13(2) of the Listing Rules with effect from 1 August 2025.
For details, please refer to the announcement of the Company dated 31 July
2025.
CORPORATE GOVERNANCE
Compliance with the Corporate Governance Code
During the Reporting Period, the Company has complied with the code provisions
in Part 2 of the Corporate Governance Code as set out in Appendix C1 to the
Listing Rules.
Compliance with the Model Code
The Company has adopted and formulated a code of conduct on terms no less
stringent than the required standards of the Model Code. After making specific
enquiries, the Company confirmed that each Director and each Supervisor has
complied with the required standards of the Model Code and the Company's code
of conduct throughout the Reporting Period.
DISCLOSURE REQUIREMENTS UNDER THE LISTING RULES
In order to comply with the requirements under paragraph 46 of Appendix D2 to
the Listing Rules, the Company confirmed that save as disclosed in this
announcement, there are no material changes in the current information of the
Company in relation to matters as set out in paragraph 46(3) of Appendix D2 to
the Listing Rules as compared with relevant disclosures in the 2024 annual
report of the Company.
REVIEW BY THE AUDIT AND RISK CONTROL COMMITTEE (THE SUPERVISION COMMITTEE)
The audit and risk control committee (the supervision committee) of the
Company has reviewed the Company's interim results for the six months ended 30
June 2025, the Company's unaudited interim condensed consolidated financial
statements, and the accounting policies and practices adopted by the Group.
GLOSSARY OF TECHNICAL TERMS
Capacity Measurements
"available tonne kilometres" or "ATK(s)" the number of tonnes of capacity available for transportation multiplied by
the kilometres flown
"available seat kilometres" or "ASK(s)" the number of seats available for sale multiplied by the kilometres flown
"available freight tonne kilometres" or "AFTK(s)" the number of tonnes of capacity available for the carriage of cargo and mail
multiplied by the kilometres flown
Traffic Measurements
"passenger traffic" measured in RPK, unless otherwise specified
"revenue passenger kilometres" the number of revenue passengers carried multiplied by the kilometres flown
or "RPK(s)"
"cargo and mail traffic" measured in RFTK, unless otherwise specified
"revenue freight tonne the revenue cargo and mail load in tonnes multiplied by the kilometres flown
kilometres" or "RFTK(s)"
"revenue tonne kilometres" or "RTK(s)" the revenue load (passenger and cargo) in tonnes multiplied by the kilometres
flown
Efficiency Measurements
"passenger load factor" RPK expressed as a percentage of ASK
"cargo and mail load factor" RFTK expressed as a percentage of AFTK
"overall load factor" RTK expressed as a percentage of ATK
"block hour" the total time from the removal of wheel chocks before the aircraft begins to
move until the placement of wheel chocks after the aircraft has landed and
come to a complete stop
Yield Measurements
"passenger yield"/"yield per RPK" revenues from passenger transportation divided by RPKs
"cargo yield"/"yield per RFTK" revenues from cargo and mail transportation divided by RFTKs
DEFINITIONS
In this announcement, unless the context otherwise requires, the following
terms shall have the following meanings:
"Airbus" Airbus S.A.S., a company established in Toulouse, France
"Air China Inner Mongolia" Air China Inner Mongolia Co., Ltd., a non-wholly owned subsidiary of the
Company
"Air Macau" Air Macau Company Limited, a non-wholly owned subsidiary of the Company
"Ameco" Aircraft Maintenance and Engineering Corporation, a non-wholly owned
subsidiary of the Company
"Articles of Association" the articles of association of the Company, as amended from time to time
"A Share(s)" ordinary share(s) in the share capital of the Company, with a nominal value of
RMB1.00 each, which are subscribed for and traded in Renminbi and listed on
Shanghai Stock Exchange
"Beijing Airlines" Beijing Airlines Company Limited, a non-wholly owned subsidiary of the Company
"Board" the board of directors of the Company
"Boeing" The Boeing Company
"CASs" China Accounting Standards for Business Enterprises
"Cathay Pacific" Cathay Pacific Airways Limited, an associate of the Company
"CNAHC" China National Aviation Holding Corporation Limited
"COMAC" Commercial Aircraft Corporation of China, Ltd.
"Company", "We" or Air China Limited, a company incorporated in the PRC, whose H Shares are
"Air China" listed on the Hong Kong Stock Exchange as its primary listing venue and on the
Official List of the UK Listing Authority as its secondary listing venue, and
whose A Shares are listed on the Shanghai Stock Exchange
"CSRC" China Securities Regulatory Commission
"Dalian Airlines" Dalian Airlines Company Limited, a non-wholly owned subsidiary of the Company
"Director(s)" the director(s) of the Company
"Group" the Company and its subsidiaries
"Hong Kong" the Hong Kong Special Administrative Region of the People's Republic of China
"Hong Kong Stock Exchange" The Stock Exchange of Hong Kong Limited
"H Share(s)" overseas-listed foreign invested share(s) in the share capital of the Company,
with a nominal value of RMB1.00 each, which is/are listed on the Hong Kong
Stock Exchange (as primary listing venue) and has/have been admitted into the
Official List of the UK Listing Authority (as secondary listing venue)
"International Financial Reporting Standards" or "IFRSs" IFRS Accounting Standards as issued by the International Accounting Standards
Board (IASB)
"Kunming Airlines" Kunming Airlines Company Limited, a subsidiary of Shenzhen Airlines
"Listing Rules" The Rules Governing the Listing of Securities on The Stock Exchange of Hong
Kong Limited
"Model Code" the Model Code for Securities Transactions by Directors of Listed Issuers as
set out in Appendix C3 to the Listing Rules
"Reporting Period" the period from 1 January 2025 to 30 June 2025
"RMB" Renminbi, the lawful currency of the PRC
"SFO" The Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong)
"Shandong Airlines" Shandong Airlines Co., Ltd., a non-wholly owned subsidiary of the Shandong
Aviation Group Corporation
"Shandong Aviation Group Corporation" Shandong Aviation Group Company Limited, a non-wholly owned subsidiary of the
Company
"Shenzhen Airlines" Shenzhen Airlines Company Limited, a non-wholly owned subsidiary of the
Company
"Supervisor(s)" the supervisor(s) of the Company
"Supervisory Committee" the supervisory committee of the Company
"US dollars" United States dollars, the lawful currency of the United States
By Order of the Board
Air China Limited
Xiao Feng
Company Secretary
Beijing, the PRC, 28 August 2025
As at the date of this announcement, the directors of the Company are Mr. Ma
Chongxian, Mr. Wang Mingyuan, Mr. Cui Xiaofeng, Mr. Patrick Healy, Mr. Xiao
Peng, Mr. Xu Niansha*, Mr. He Yun*, Ms. Winnie Tam Wan-chi* and Mr. Gao
Chunlei*.
* Independent non-executive directors of the Company
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END IR PLMTTMTBTMPARecent news on Air China
See all newsREG - Air China Ld - BOOK CLOSURE FOR EXTRAORDINARY GENERAL MEETING
AnnouncementREG - Air China Ld - Shenzhen Airline Proposed Financing
AnnouncementREG - Air China Ld - Interim Results for First Half of 2025
AnnouncementREG - Air China Ld - Announcement on Impairment Provision
AnnouncementREG - Air China Ld - ANNOUNCEMENT ON KEY OPERATING DATA OF JULY 2025
Announcement