Soaring jet fuel prices bite Thai Airways profits - Bangkok Post

Prospective travellers check cheap air tickets promoted by Thai Airways International. (Photo: Somchai Poomlard) Thai Airways International (THAI) operating profits dropped by more than half as the airline continues to suffer from high jet fuel costs.

THAI announced on Thursday the operating profits for the third quarter was 3.84 billion baht, a 55% drop from the same period last year.

The national flag carrier said the sharp decline was due to higher jet prices that surged almost 60% year-on-year.  

Aircraft fuel prices this week are US$178.95 (6,000 baht) per barrel, compared to $100 less than a year ago, according to the International Air Transport Association. Most airlines are suffering from the price hike due to the Middle East war.  

The fuel burden sunk the company's operating profit for this year, including the two previous quarters, to 21.28 billion baht, a 39% drop from the first three quarters of last year.  

An operating profit does not take in account financial costs, taxes and other items unrelated to the operation. 

Despite continued fuel pressure, THAI expects strong passenger demand at the end of the year. "The passengers advance booking remains satisfactory, reflecting high travelling demands at the end of 2026," the carrier said.  

The airline has carried almost 12 million passengers this year, a drop of 3% compared to last year. The THAI fleet comprises 91 aircraft.