1H FY2022/23 Financial Results Analyst & Media Briefing

Thank you, Mr Goh. For the Q&A session, we will have Mr Mak Swee Wah, Executive Vice President Operations, Mr Lee Lik Hsin, Executive Vice President Commercial, as well as Mr Tan Kai Ping, Executive Vice President Finance and Strategy, joining us on stage. Mr Goh will be joining us virtually. Gentlemen, please. Why don't we get started? This gentleman in the blue shirt please, thank you.

Good morning, gentlemen. My name is Raymond from CGS- CIMB. My first question is about your plans to sell Vistara to Air India, and whether that will involve any additional equity into the combined business? Another question on dividend pay-out policy, if you have any.

For Vistara, it is as per what we announced on 13 October 2022. We are looking at deepening commercial relationships, and it could involve integrating Vistara and Air India. These are still under discussions. When there is anything concrete to be announced, we will announce it. On dividends, we do not give a stated dividend policy. When it is appropriate to do so, the Board will look at how to resume the dividend payment. In this case, we have resumed it following the half-year results. Thank you.

Thank you. Next question, please. We will have the gentleman beside him.

Good morning. Louis from Credit Suisse. Two quick questions, please. First, any updates on the CAPEX plans? In the first half, it seems to be quite moderate, down year-on-year to about $916 million. Second, in terms of the passenger capacity. I noted in CEO's charts that in the third to fourth quarter, the passenger capacity is expected to be flat at about 75%. If you can give us some guidance on that. Thank you.

CAPEX guidance has not changed since May 2022. We gave the last CAPEX guidance then. You will see in that CAPEX guidance a run rate of around $4 billion, dropping to $3.2 billion in FY2025/26. It then tapers off after that. There is a delay in the Boeing 777-9 programme. This is public information. Discussions are still ongoing with Boeing. As a result of that, you can expect that the CAPEX will move to the right, further out, in line with the delay of the 777-9 delivery. But we do not have that guidance yet. We will put that out once we conclude the discussions with Boeing.

On the capacity question, the number that you see is an average number across the period. We are increasing our capacity during that period. By December this year, we would have gone up to 80% in that month alone. It is actually an increasing trend, but reflecting an average that includes the earlier months of lower capacity.

Thank you. Chuanren, please.