China's three largest state-owned airlines posted first-half losses for the seventh straight year, hit by soaring jet fuel costs, with a weak summer season dimming the outlook for the rest of the year.
Air China, China Eastern Airlines and China Southern Airlines posted combined first-half net losses of about 8.2 billion yuan ($1.22 billion), having warned last month the figure could reach as high as 9 billion yuan.
The losses were a sharp reversal from their combined first quarter profit of 4.82 billion yuan, which was boosted by strong Lunar New Year demand, and sent their shares lower in mainland China and Hong Kong trading on Monday.
Flag carrier Air China reported a net loss of 2.3 billion yuan, widening from a 1.81 billion yuan loss a year earlier. China Eastern posted a loss of 2.2 billion yuan, versus a 1.43 billion yuan loss in the same period of 2025. China Southern reported a loss of 3.7 billion yuan, compared with a loss of 1.53 billion yuan a year earlier.
The weak results underscored the post-pandemic fragility of China's aviation sector, as the trio confronted what China Eastern described as a profit environment "severely undermined" by disrupted international routes and persistently elevated jet fuel prices linked to the Middle East conflict.
