Tiger Airways Holdings
 | |
| Type | Public |
|---|---|
| Industry | Airline |
| Headquarters | Singapore, Singapore |
| Key people |
JY Pillay (Chairman) Koay Peng Yen (CEO) |
| Subsidiaries |
Tigerair Tigerair Australia Tigerair Philippines Tigerair Mandala Tigerair Taiwan(Planned) |
| Website | http://www.tigerair.com |
Tiger Airways Holdings Limited (SGX: J7X), is a holding company for a group of budget carriers operating in the Asia-Pacific region.
The group consists of wholly owned Tigerair (Tiger Airways Singapore) and partially owned Tigerair Australia (Tiger Airways Australia), Tigerair Philippines (Tiger Airways Philippines), Tigerair Mandala (Mandala Airlines) and the newly announced Tigerair Taiwan. The holding company was formed in 2007 to allow for easier management of the four subsidiaries, as well as any future expansion, without having to focus on operational issues, leaving those to the airlines themselves.
The group flew 2.25 million passengers in the year ended 31 March 2008, a 50% increase over the previous year. Revenue increased by 82% in the same period, although the company has not announced if this translates into any profits.[1] The company says that its Australian operations are generating positive cash flows without a need for cross-subsidies from its Singapore operations, but there are concerns that its "positive cash flows" may have taken into account forward bookings into the next fiscal year.[2]
Subsidiaries
- Tigerair (100%)
- Tigerair Australia (40%)
- Tigerair Mandala (33%)
- Tigerair Philippines (40%)
- Tigerair Taiwan (10%)
Tigerair Singapore
Tigerair Singapore was incorporated on 12 December 2003 and began ticket sales on 31 August 2004. Services commenced on 15 September 2004 to Bangkok. It operates scheduled international services from Singapore Changi Airport and is a subsidiary of Tiger Airways Holdings, a Singaporean-based company.
In 2006, the airline flew 1.2 million passengers, a growth of 75% from the previous year. The airline was the first to operate from the Budget Terminal in Changi Airport in order to achieve operating-cost savings and its cost structure is modeled after Ryanair. Despite regional competition, the airline has reiterated its current intention to remain focused on flying within a five-hour radius from its Singaporean base.
Tigerair Australia
Tigerair Australia (Tiger Airways Australia) is the Australian affiliate of Tigerair (Tiger Airways). The airline is a joint venture between Tiger Airways Holdings & Virgin Australia.
On 9 February 2007, Tigerair formally announced that it hoped to become Australia's third full-scale domestic airline, competing directly with Virgin Australia and Qantas/Jetstar.[3] Tigerair Australia will use their Australian domestic network to support an expanded international presence with the current gateway of Perth, expanded to include Melbourne. On 16 March 2007 the airline received approval from Australian authorities to establish the new subsidiary,[4] and established Tiger Airways Australia Pty Ltd on the same day.[5]
Tigerair Australia began operations on 23 November 2007, and its current route network already spans every state in the country. On 31 July 2008 Tigerair Australia announced that it would suspend its flights from Darwin on 25 October, citing Darwin International Airport operating and fuel costs, making it the most expensive airport on the Tigerair Australia network but did not rule out returning in the future if costs were to decrease.[6] Tigerair Australia resumed services to Darwin on Friday 18th, June 2010.[7] On 5 August 2008 the airline announced Adelaide as its second operational base[8] and began services on 10 January 2010.
Tigerair Australia resumed flights on August 2, 2011, after it was grounded for safety issues. It is currently operating on a restricted schedule maintaining its hub in Melbourne. Tigerair Australia will re-open its second base at Sydney with three aircraft in July 2012. Tigerair Australia will also resume flights to Tasmania twice daily from November, taking its Australian destinations to seven and fully utilising its aircraft local fleet, which is set to be expanded from 10 to 11.
Tigerair Mandala
Tigerair Mandala is the Indonesian affiliate of Tigerair. The airline is a joint venture between Tiger Airways Holdings & Saratoga Investama Sedaya.
Tigerair ventured into the Indonesian market by buying the troubled Mandala Airlines, with the Saratoga Group holding a majority 51.3% and the remaining 15.7% by previous shareholders and creditors of Mandala.[9] Tigerair Mandala sports a hybrid livery with the name 'mandala' on the fuselage accompanied by Tigerair's stripes on the tail and wingtips.
Tigerair Mandala started operations on Thursday 5 April 2012, with one domestic route between its home base Jakarta and Medan, the capital of North Sumatra. This will be followed by its first international destination when it launches the Medan-Singapore route on 20 April 2012,[10] adding a second Indonesian destination to Tigerair Singapore network after Jakarta. In May, Tigerair Mandala flew to Malaysia's capital Kuala Lumpur from Jakarta.[11]
Tigerair Philippines
Tigerair Philippines is the Philippines affiliate of Tigerair. The airline is a joint venture between Tiger Airways Holdings & SEAir Inc.
In November 2010, Tigerair announced a partnership with Filipino carrier South East Asian Airlines (SEAir) which would see Tigerair leasing its two Airbus A319 aircraft to SEAir to open up new international routes out of SEAir's base in Clark International Airport. The DG-coded flights are to be operated by SEAir's pilots and cabin crew using the leased aircraft which would be repainted into SEAir's livery. Seats on these flights would be marketed by Tiger in addition to SEAir's own website.[12]
In February 2011, Tiger Airways Holdings Ltd, parent of Tigerair increase the shares to 40%.[13]
In December 2012, CAB approved SEAir's application to form SEAir International. SEAir-I will fly domestic and long-haul international route. It will be a full-service airline focusing on leisure destinations. Seair-I is an independent operation from Seair Inc. which has now been rebranded as 「Tigerair Philippines.」 「The two carriers have some common shareholders but it is not a unit of the other. Seair-I was formed to take on the turboprop division [of Seair Inc.] which was excluded in the share sale with Tigerair.」 [14]
Tigerair Taiwan(Operations start 2014)
Tigerair Taiwan is the Taiwanese affiliate of Tigerair. The airline is a joint venture between Tiger Airways Holdings & China Airlines.
In December 2013, Tigerair and China Airlines announced their joint venture to establish Tigerair Taiwan. The new airlines is planned to start operations in 2014 with 3 Airbus A320s. China Airlines will hold a 90 percent share in the new carrier, while Tigerair will hold the other 10 percent. [15]
Financial performance
The following table shows the financial performance of Tiger Airways Holdings.
| Year ended | Revenue (S$m) | Expenditure (S$m) | Operating profit (S$m) | Profit before taxation (S$m) | Profit attributable to equity holders (S$m) | EPS after tax – diluted (cents) |
|---|---|---|---|---|---|---|
| 31 March 2006 | 75 | NA | −37.4 | NA | NA | NA |
| 31 March 2007 | 171.2 | NA | −14.3 | NA | NA | NA |
| 31 March 2008 | 231 | NA | 37.8 | NA | NA | NA |
| 31 March 2009 | 378.0 | 425.5 | −47.5 | −47.6 | −50.8 | −14 |
| 31 March 2010 | 486.2 | 460.2 | 26.0 | 19.9 | 28.2 | 6.6 |
| 31 March 2011 | 622.3 | 575.0 | 47.2 | 57.0 | 39.9 | 6.9 |
| 31 March 2012 | 618.2 | 701.6 | −83.4 | −100.7 | −104.3 | −14.9 |
| 31 March 2013 | 866.0 | 859.0 | 7.0 | −35.0 | −45.4 | −5.5 |
Note: Tiger Aviation Holdings Limited was listed on 22 January 2010. Full financial information may not be publicised prior to that date.
Operating performance
| Year ended | Passengers booked (thousand) | RPK (million) | ASK (million) | Load factor (%) | Seat capacity (thousands) |
|---|---|---|---|---|---|
| 31 March 2009 | 3,167 | 5,245 | 6,459 | 79.4 | 3,989 |
| 31 March 2010 | 4,872 | 6,768 | 7,847 | 85.1 | 5,723 |
| 31 March 2011 | 5,968 | 8,209 | 9,583 | 85.8 | 6,958 |
| 31 March 2012 | 5,465 | 8,494 | 10,447 | 81.3 | NA |
| 31 March 2013 | 6,848 | 10,827 | 12,907 | 83.9 | NA |
Abandoned overseas ventures
Incheon Tigerair
On 5 November 2007, Tigerair announced that it would be starting a Korean-based budget airline. Incheon Tigerair was to have been a joint venture between Tiger Aviation and Incheon Metropolitan City, flying to destinations in Japan, China, Mongolia and the Russian Far East. The airline was to be based in South Korea's Incheon Airport and planned to begin services by 2009; however, the project was abandoned in December 2008.[19]
Thai Tigerair
Tigerair and Thai Airways International will form an airline based in Thailand, where Thai Airways International and Tigerair will own 51% and 39% respectively of the newly formed airline, while RyanThai will hold the remaining 10%.[20][21] Operations are expected to begin in the 1st quarter of 2011.[22] Tigerair has dropped its plan to form a Bangkok-based low-cost joint venture with Thai Airways after failing to get the necessary investment approvals from the Thai government. As a result, Thai Airways International, Tigerair and Ryanthai decided not to proceed with the incorporation of Thai Tigerair.[23]
Shareholders
Tigerair is publicly listed on the Singapore Exchange since February 2010. According to the 2012 Annual Report, the main shareholders in Tiger Airways Holdings, as of 15 June 2012, who hold more than 5% shares, are:[24]
- Singapore Airlines Limited (32.84%)
- Dahlia Investments Pte Ltd (7.37%)
References
- ↑ Channelnewsasia.com
- ↑ "Tiger on the jump in Australia – smh.com.au". The Sydney Morning Herald. 22 April 2008.
- ↑ "Singapore's Tiger Airways to pounce on Australian domestic market". Channel NewsAsia. 9 February 2007.
- ↑ Creedy, Steve (16 March 2007). "Growing Tiger gets its stripes". The Australian.
- ↑ "Tiger Airways sets up Aussie subsidiary". The Sydney Morning Herald. 19 March 2007.
- ↑ "Tiger suspends all Darwin flights". Northern Territory News. 2008-08-01. Retrieved 2008-08-01.
- ↑ "Tiger Airways Roars Back To Darwin". Tiger Airways Australia Pty Ltd. 2010-06-18. Retrieved 2010-06-18.
- ↑ "Tiger sets up second home in Adelaide". The Age (Melbourne). 5 August 2008.
- ↑ http://www.tigerairways.com/news/20120221.pdf
- ↑ Indonesian Airline Mandala Hopes Time is Right for Return | The Jakarta Globe
- ↑ http://www.tigerairways.com/news/20120327.pdf
- ↑ "Tiger Airways Press Release" (Press release). Retrieved 2012-10-01.
- ↑ Lectura, Lenie (2012-04-18). "Singapore's Tiger Airways eyes bigger pie of Seair". ABS-CBN News. Retrieved 2012-10-01.
- ↑ http://www.interaksyon.com/business/49445/seair-international-cleared-for-takeoff
- ↑ "China Airlines to set up budget Tigerair Taiwan" (Press release). Taipei Times. 2013-12-26. Retrieved 2013-12-16.
- ↑ 16.0 16.1 "Financial Year 10-11". Tiger Airways Holdings Limited. Tiger Airways. Retrieved 8 January 2014.
- ↑ 17.0 17.1 "Financial Year 11-12 Results". Tiger Airways Holdings Limited. Tiger Airways. Retrieved 8 January 2014.
- ↑ 18.0 18.1 "Financial Year 12-13". Tiger Airways Holdings Limited. Tiger Airways. Retrieved 8 January 2014.
- ↑ AFP: Singapore, Incheon scrap plans for new budget airline
- ↑ Thai Airways to decide on new plane order in weeks - MarketWatch
- ↑
- ↑ New Thai Tiger to fight Jetstar | Herald Sun
- ↑ Tiger Airways drops joint venture with Thai Airways
- ↑ http://www.tigerairways.com/news/Tiger_Airways_AR_2012_Supp.pdf
See also
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