CHINA EAST AIR (00670) announced its interim results, with a net loss attributable to shareholders of 2.179 billion yuan, an increase of 52.3% year-on-year.

CHINA EAST AIR (00670) released its mid-year performance for 2026, reporting revenue of RMB 74.234 billion, an increase of 11.09% year-on-year. Of this, transportation revenue amounted to RMB 71.724 billion, up 11.39% year-on-year, while other revenue stood at RMB 2.510 billion, a year-on-year increase of 3.21%. The net loss attributable to equity holders of the company was RMB 2.179 billion, an increase of 52.3% year-on-year, with a basic loss per share of RMB 0.11. In the first half of 2026, the company adhered to the concept of safe development, deeply promoting the Three Fly strategy, firmly committing to fly to distant places, fly internationally, and fly to emerging markets. It continuously optimized its route network layout and reinforced its control over core hub markets, leading to a strong fundamental development. Faced with severe challenges arising from the turbulent situation in the Middle East, the company quickly established a task force to respond to high oil prices, adapting and optimizing flight operations, meticulously managing revenues, enhancing fuel-efficient aircraft utilization, comprehensively reducing costs and expenses, and revitalizing existing assets. Through a series of pragmatic measures, the company effectively stabilized its developmental fundamentals. In the first half of the year, the company completed a total transportation turnover of 14.259 billion ton-kilometers, carried 72.7629 million passengers, and handled 575,000 tons of cargo and mail, representing year-on-year increases of 5.57%, a decrease of 0.55%, and an increase of 8.35%, respectively. In the face of a complex operating environment, the company insists on optimizing its flight network, enhancing hubs, improving revenues, expanding income sources, building an ecosystem, and strengthening collaboration to actively respond to challenges posed by high oil prices and achieve stable and quality improvements in production and operations. Optimizing the route network layout to expand market territory. Implementing the Three Fly strategy, the company opened 14 new international routes, restored 4 routes, and increased the frequency of 5 routes, particularly enhancing intercontinental routes from Shanghai Pudong to Geneva, Venice, Barcelona, and Frankfurt, solidifying its advantages in the international network. In domestic routes, 41 new routes were opened, and key regions like Xinjiang and Northeast China saw increased route network frequency, expanding the domestic "air express" network to 47 routes, thus continuously improving accessibility and coverage in key markets. Deepening hub construction to enhance market share. The company strengthened its hub transfer support capabilities, being the first to introduce cross-airline transit arrangements, thus improving the transfer experience. In the first half of the year, 5.953 million passengers were transferred through Pudong Airport, representing a year-on-year increase of 9.4%; of these, 5.313 million were international transfer passengers, up 10.8% year-on-year. Market share continued to rise at key hubs like Beijing Daxing, Xi'an, and Kunming, further consolidating hub advantages. Broadening marketing channels and strengthening revenue management. The company enhanced direct sales channel construction, with domestic agency commission rates decreasing by 0.82 percentage points year-on-year; strengthened collaboration between airlines, leading to a year-on-year increase of 34% in inter-airline revenue; accurately segmented customer needs with customized products like family reunion cards and senior citizen zones; seized high-end travel demand, optimized cabin structure, and increased the proportion of mid-to-high cabin class seats. In the first half of the year, the companys seat kilometer revenue level, excluding fuel surcharges, increased by 4.24% year-on-year, with dual-class passenger numbers growing by 6.2% year-on-year and dual-class revenue increasing by 18.8% year-on-year. Deepening cross-industry cooperation to co-build an industrial ecosystem. The company heavily invests in the "Aviation + Culture, Tourism, Commerce, and Exhibition," strengthening cooperation with partners like Starbucks and Jiushi Group while deeply integrating with companies like Weifushi and Shanghai Cultural Broadcasting Group to develop distinctive products in visas and audiovisuals; based on existing solid collaborations with the National Museum and Shanghai Museum, it further partnered with the Sanxingdui Museum and the Palace Museum to launch new cultural travel products; supported the World Skills Competition, unveiling themed painted aircraft. The company continued to expand multimodal transportation services, including air-rail, air-bus, and air-water, serving over 2.46 million passengers in the first half of the year, reflecting a year-on-year growth of 21.2%. Strengthening passenger-cargo synergy to deeply tap bellyhold revenue. The company adheres to a strategy of passenger and cargo parallel, synergy, and integration, accurately capturing opportunities in the freight market, continually optimizing bellyhold cargo loading and route resource allocation models to enhance the operational efficiency of passenger aircraft's cargo holds. In the first half of the year, bellyhold revenue for passenger aircraft reached RMB 3.13 billion, representing a year-on-year increase of 21.46%.