On the evening of November 15, several airlines including china eastern airlines corporation, hainan airlines holding, and air china limited released announcements on their main operational data for October.

The operational data for airlines in October is impressive. From the data, major passenger airlines saw a year-on-year increase in key indicators such as capacity input and passenger turnover in October.

china eastern airlines corporation: In October, passenger capacity input increased by 12.34% year-on-year, reaching 109.79% of the same period in 2019; passenger turnover increased by 23.24% year-on-year, reaching 114.83% of the same period in 2019. In October, 12.26654 million passengers were carried, a year-on-year increase of 14.92%.

hainan airlines holding: In October 2024, the group's revenue passenger kilometers increased by 20.39% year-on-year, revenue ton kilometers increased by 24.44% year-on-year, passenger transportation volume increased by 13.12% year-on-year, and passenger capacity input (measured by available passenger kilometers) increased by 17.05% year-on-year, with the load factor increasing by 2.38 percentage points.

air china limited: In October 2024, the company's and its subsidiaries' combined passenger turnover increased year-on-year. Passenger capacity input increased by 14.5% year-on-year, and passenger turnover increased by 22.1% year-on-year.

gtja stated that the aviation industry in china remains one of the few sectors with an unexpectedly long-term logic. A-share airlines' earnings in Q3 2024 surpassed those of Q3 2019, exceeding market expectations. The trend of supply and demand recovery is certain, and the international increase in flights will continue to absorb domestic capacity, with aviation demand expected to be boosted by policies. Currently, expectations remain low, with options on declining oil prices, suggesting a contrarian layout during the off-peak season.

Sinolink pointed out that in 2025, the holidays will increase by 2 days, which will help boost the demand for transportation by civil aviation and high-speed rail. The supply and demand in aviation will be optimized, and a turning point can be expected. Since the end of September, multiple policies have been introduced to stimulate consumer spending, and with the aviation industry being a discretionary consumer good, enhanced purchasing power or restored confidence among consumers is expected to create travel demand. The future optimization of supply and demand is likely to accelerate, and a turning point in supply and demand is expected in 2025. The optimization of supply and demand, combined with cost improvements, is likely to lead to significant growth in the performance of airlines.

Related companies in the aviation sector:

China Southern Airlines (01055), Air China Limited (00753), China Eastern Airlines Corporation (00670), Cathay Pac Air (00293).