Korean Air reports strongest performance ever in 2022

Korean Air Lines Co. had its strongest performance ever in 2022, as it successfully cashed in on a thriving cargo business and a full recovery in passenger demand.

The company said on Wednesday that its operating profit doubled from the previous year, hitting 2.88 trillion won ($2.5 billion), a 97% increase year-on-year. Sales also rose 53% to 13.41 trillion won, surpassing the previous record of 12.64 trillion won in 2018, and the company's net profit increased by 179% to 1.78 trillion won.

The strong performance was driven by high air freight rates, which remained robust during the COVID-19 crisis, and a steep recovery in passenger operations in the latter half of the year, as quarantine measures by governments eased.

In the fourth quarter, however, the rise in performance slowed down as the profitability of the cargo business got worse. Sales during the quarter were 3.67 trillion won, up 28% year-on-year, but operating profit fell 26% to 520.1 billion won.

“In light of the expected uncertain business environment this year, we will prepare for changes during the post-COVID-19 transition period and lay the foundation for mid- to long-term growth through the acquisition of Asiana Airlines,” said a Korean Air official.

Write to Kyung-Min Kang at kkm1026@hankyung.com