Jinwu Financial News | According to Citibank Research, Air China (00753)'s revenue in the first quarter reached a record high for the same period, increasing 60% year-on-year to 40 billion yuan, and an increase of 23% over the same period in 2019. Driven by high sales costs, the first quarter recorded a net loss of 1.7 billion yuan. With a purchase rating, the target price is HK$7.1.
The bank expects that Air China will see a return in profits after the results are announced. The second quarter may face challenges due to the low season and high oil prices, but the bank is still optimistic about the summer peak, especially the acceleration of international economic recovery. According to the bank's commodity research team, this year's crude oil will be at the level of 86 US dollars per barrel.