Beijing, Oct 28 (IANS): Air China Ltd, China's largest airline, said Friday its net profits in the third quarter of 2011 decreased 26.46 percent year-on-year due to weak international demand and investment losses.
Its Q3 net profits totaled 3.8 billion yuan ($590 million). In the first nine months its profits slumped 20.26 percent year-on-year to 7.86 billion yuan, Xinhua reported.
Its sales revenue in the third quarter rose 13.36 percent year-on-year to 28.14 billion yuan.
The company said its profits were dragged down by lower contributions from its associate airline, Hong Kong-based Cathay Pacific, following a global air traffic recession this year.
The company also suffered a decrease in its fair value of 1.02 billion yuan in the third quarter due to losses in aviation fuel hedge trading.