Seoul: Korean Air Co., South Korea's flag carrier, reported a 26 percent increase in its first-quarter net profit compared to the previous year, driven by strong performances in both its passenger and cargo business sectors. The airline's net profit for the period from January to March amounted to 242.7 billion won (US$163 million), up from 193.2 billion won a year earlier, as per its preliminary earnings report. The final earnings report is anticipated later this month.

According to Yonhap News Agency, Korean Air's operating profit saw a 47 percent year-on-year rise to 516.9 billion won, while sales reached a record high of 4.52 trillion won, marking a 14 percent increase. The passenger business recorded sales of 2.61 trillion won, an increase of 177.6 billion won from the previous year. This growth was attributed to high demand during the Lunar New Year holiday in February and increased traffic on European routes.

Cargo business sales are estimated to have risen to 1.09 trillion won, reflecting an increase of 36.6 billion won from the same period last year, supported by expanded long-term contracts. Despite these gains, Korean Air anticipates challenges for its passenger business in the second quarter due to rising oil prices and a weak won, influenced by the ongoing Middle East conflict.

The airline plans to enhance its cargo business by securing seasonal shipments and expanding demand in growth sectors, such as artificial intelligence (AI) and Korean cosmetics, to maintain its upward trajectory in the coming months.