Singapore Airlines profit surges

Story Tools YOUR E-MAIL ALERTS Follow the news that matters to you. Create your own alert to be notified on topics you're interested in. Or, visit Popular Alerts for suggestions. Manage alerts | What is this?

Singapore (CNN) -- Singapore Airlines (SIA) surprised analysts with a 110 per cent profit rise in the third quarter, even though passenger numbers fell.

The airline, whose share price has dropped in recent days because of fears that bird flu will hit tourism, reported a net profit of S$378 million ($223.6 million) Thursday.

Revenue grew 1.8 per cent to S$2.8 billion while passenger capacity slumped 5.4 per cent.

The company said in a statement its higher profit for the quarter was driven by a reduction in capacity and internal cutbacks of more than 10 percent.

Story Tools		Subscribe to Time for $1.99

CNN/Money: Convictions in Tyco case • Oil prices hit record high • European stocks end higher • Toyota aims for $50,000 hydrogen car

CNN/Money: Security alert issued for 40 million credit cards • Bin Laden deputy sends message • U.S. House votes to keep U.N. dues • Iran poll to go to run-off