CHINA EAST AIR (00670) is expected to incur a net loss of approximately 1.8 to 2.4 billion yuan in the first half of the year.

China East Air (00670) announced that according to Chinese Accounting Standards, it is expected that the net profit attributable to the shareholders of the company for the first half of 2026 will be approximately RMB -2.4 billion to -1.8 billion. It is expected that the net profit attributable to the shareholders of the company for the first half of 2026, after deducting non-recurring gains and losses, will be approximately RMB -3.3 billion to -2.7 billion. In the first half of 2026, the overall operation of the Chinese economy remained stable and made progress. The company has always adhered to the concept of safe development, vigorously promoted the "Three-Fly" strategy, continuously optimized the route network layout, and strengthened the control of core hub markets to improve the company's development fundamentals. Since March, geopolitical conflicts in the Middle East have led to a surge in oil prices, posing a huge challenge to the aviation industry. In response, the company quickly established a special team to deal with high oil prices, adjusted and optimized flight production in a timely manner, implemented fine control over revenue, increased the utilization rate of fuel-efficient aircraft models, reduced costs comprehensively, and revitalized existing assets. Through a series of practical measures, the company effectively stabilized its development fundamentals. However, due to the sharp increase in fuel prices, costs have increased significantly, and the company expects to incur losses in the first half of 2026.