Seoul: South Korean low-cost carrier Jin Air Co. announced on Thursday that its first-quarter net profit declined by 33 percent from the previous year due to intensifying market competition and rising operational costs. Jin Air reported a net profit of 45.7 billion won (US$32.7 million) for the January-March period, compared to 68.3 billion won a year earlier, according to the company's press release.

According to Yonhap News Agency, the airline's operating profit fell by 40.8 percent year-on-year to 58.3 billion won, while sales decreased by 2.9 percent to 417.8 billion won. Jin Air attributed the decline in earnings to increased market supply, which led to fare competition, and higher operational costs resulting from a stronger U.S. dollar.

Jin Air, a budget carrier unit of industry leader Korean Air Co., anticipates that volatility in international oil prices and the foreign exchange market will continue in the second quarter amid ongoing global trade tensions. To strengthen its performance, Jin Air plans to launch new international routes and adapt to market conditions by optimizing supply and exploring new overseas markets.