BofA Securities released a research report noting divergent Q3 performance among four mainland Chinese airlines. CHINA EAST AIR (00670) posted the strongest net profit growth at 34% YoY, followed by CHINA SOUTH AIR (01055) with a 20% increase. However, Spring Airlines (601021.SH) and AIR CHINA (00753) saw net profits decline by 6% and 11%, respectively. Revenue per available seat kilometer exceeded expectations during the period, with September data showing resilience.

The firm expects lower fuel costs to benefit overall cost structures, though non-fuel unit costs varied, with AIR CHINA lagging in cost optimization. BofA revised AIR CHINA's 2025 earnings forecast from a loss of RMB 54 million to a profit of RMB 473 million but cut 2026 and 2027 estimates by 5.7% and 4.2%. Meanwhile, CHINA SOUTH AIR's 2025 earnings forecast was slashed by 54%, while 2026 and 2027 projections were raised by 16% and 14%. CHINA EAST AIR's 2025–2027 forecasts were lifted by 56%, 0.8%, and 0.7%. Spring Airlines saw a 2.7% cut to its 2025 forecast, with 2026–2027 estimates unchanged.

BofA reiterated "Underperform" ratings for AIR CHINA, CHINA EAST AIR, and CHINA SOUTH AIR due to persistent domestic fare pressures posing downside risks to 2025–2026 earnings. It maintained a "Buy" on Spring Airlines, citing its cost leadership and steady growth expectations for 2025–2026.