China Eastern Airlines Co., Ltd. (CHINA EAST AIR) (00670) has announced its preliminary financial estimates. Under Chinese Accounting Standards for Business Enterprises, the company anticipates a net profit attributable to shareholders of the listed company for the first half of 2026 to be in the range of approximately negative 2.4 billion to negative 1.8 billion yuan. The estimated net profit attributable to shareholders after deducting non-recurring gains and losses for the same period is approximately negative 3.3 billion to negative 2.7 billion yuan.

During the first half of 2026, the national economy maintained overall stable and progressive growth. The company consistently adhered to a safety-first development philosophy, advanced its strategic initiatives, continuously optimized its route network, and strengthened its control over core hub markets, resulting in a fundamentally sound operational foundation.

However, since March, geopolitical conflicts in the Middle East have driven a significant increase in oil prices, presenting substantial operational challenges for the aviation industry. In response, the company promptly established a dedicated task force to address high fuel costs. It implemented timely adjustments to flight operations, refined revenue management, increased the utilization of more fuel-efficient aircraft, comprehensively reduced costs and expenses, and activated existing assets. These practical measures have been effective in stabilizing the company's fundamental operations.

Despite these efforts, the sharp rise in jet fuel prices has led to a substantial increase in costs. Consequently, the company expects its operating performance for the first half of 2026 to remain in a loss-making position.