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Air China's Q1 net profit more than doubles on strong demand
Thursday, April 24, 2008; Posted: 08:07 PM
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HONG KONG, Apr 25, 2008 (Thomson Financial via COMTEX) -- AICAF | news | PowerRating | PR Charts -- Air China Ltd.'s net profit more than doubled in the first quarter from a year ago as the continued expansion of the Chinese economy lifted demand for air travel.

Net profit at China's biggest international carrier rose 147 percent to 1.04 billion yuan ($148.57 million) in January-March, the company told the Hong Kong Stock Exchange late Thursday.

Sales grew 22 percent to 12.76 billion yuan.

China's gross domestic product rose 10.6 percent in the first three months, lifted by spending and investment. The government is priming the economy through the construction of roads, bridges, airports and other facilities needed for hosting this year's Olympics.

The airline said the yuan's 4 percent gain against the dollar during the quarter also lifted earnings.

Air China earlier said it carried 8.31 million passengers during the period, up 5.7 percent from a year ago.

($1 = HK$7.80)

jun.ebias@thomsonreuters.com

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