SATS Ltd. reported a solid start to its fiscal year, with first-quarter results showing resilience amid global trade disruptions and a clear strategy to maintain growth momentum through its diversified service portfolio and expanding global network.
For the three months ended June 30, 2025 (1Q FY26), SATS posted revenue of S$1.51 billion, up 9.9% year-on-year. Gateway Services led the performance with S$1.18 billion in revenue, a rise of 11.2%, driven by strong cargo volumes and a broader customer base. Food Solutions contributed S$328.3 million, up 5.6%, supported by sustained demand for inflight meals.
Operating profit rose 10.9% to S$125.2 million, with margins holding at 8.3%.
Despite macroeconomic headwinds, SATS remains confident in its outlook. “Our financial performance and market share growth in the first quarter of FY26 reflects continued demand for our services and the effectiveness of our integrated global platform,” said Kerry Mok, President and CEO of SATS. “Our recent hub management agreement with Riyadh Air further highlights our ability to grow in spite of a volatile environment by leveraging the power of our global reach, network and strong customer relationships.”
The company continues to outperform industry benchmarks, particularly in cargo services, where growth exceeded IATA’s global averages. SATS also added several major carriers to its portfolio, including Cathay Cargo, Emirates SkyCargo, Riyadh Air and Turkish Airlines.
Looking ahead, SATS expects Gateway Services to remain resilient and Food Solutions to benefit from rising regional demand for high-quality aviation meals. Infrastructure upgrades at the Singapore Hub are underway to improve operational efficiency and competitiveness.
"Amid economic uncertainties, Gateway Services is expected to remain resilient,
supported by its business mix and global network. Food Solutions will continue to benefit from increased regional demand for authentic, high-quality aviation meals," Mok added.
"While recent IATA growth trends indicate a more measured rate of expansion in global cargo and passenger markets due to changing trade dynamics, tariffs and operating conditions, we expect to maintain our momentum in outperforming these benchmarks."
In recognition of Singapore's 60th year of independence, the SATS president and CEO reaffirmed the company's identity as a Singapore-headquartered multinational, underscoring its alignment with the nation's values and trajectory.
"SATS' development and transformation over the years demonstrates resilience, adaptability, and a progressive approach, mirroring the qualities that have contributed to Singapore’s achievements and progress," Mok said.
The company said it will continue investing in higher-margin services and strategic partnerships to support long-term, sustainable growth.
