Tigerair Taiwan reported first-half revenue of NT$8.45 billion (US$263 million), marking a 2.9% increase and setting a new high for the period, yet the airline’s profitability weakened as operational expenses mounted.
Net profit dropped 2.3% to NT$1.5 billion (US$47 million), with earnings per share falling to NT$3.26 (US$0.10). The decline stemmed from increased provisions for spare engine maintenance and higher depreciation costs from new aircraft investments, according to the board’s disclosure.
Despite the profit squeeze, Tigerair approved an attractive NT$6.05 (US$0.19) per share dividend, combining NT$4.89 in cash payments with NT$1.16 from capital surplus distributions. At Friday’s closing price of NT$85.4 (US$2.67), this translates to a 7.1% cash yield—reportedly the highest among Taiwan’s domestic carriers.
The timing appears strategic as Tigerair launches its second wave of winter flight sales covering October 2025 through March 2026, targeting peak travel periods including New Year holidays. The carrier continues fleet modernization by extending six aircraft leases while managing global delivery delays from manufacturers.
Management’s emphasis on sustainable aviation fuel for new aircraft deliveries, while environmentally conscious, adds operational complexity and costs that investors should monitor closely as the industry navigates post-pandemic recovery challenges.
