Investment Rating - The report assigns a "Buy" rating to China Southern Airlines (600029) [1] Core Views - China Southern Airlines' operations are improving, with profitability expected to rebound [1] - The company's domestic passenger load factor has exceeded 2019 levels, while international and regional capacity has recovered to 80% of 2019 levels [2] - Despite revenue growth, the company faced increased losses in Q2 2024 due to seasonal factors and adverse weather conditions [2] Financial Performance - In H1 2024, the company achieved revenue of RMB 84.79 billion, up 18.0% YoY and 16.2% compared to 2019 [2] - Net profit attributable to shareholders was RMB 1.228 billion, significantly reducing losses by RMB 1.647 billion YoY [2] - Q2 2024 revenue reached RMB 40.2 billion, up 6.4% YoY and 13.8% compared to 2019, but net loss widened to RMB 1.984 billion [2] Operational Metrics - H1 2024 gross margin was 7.36%, up 0.49 percentage points YoY, but still below 2019 levels [2] - Q2 2024 passenger load factor reached 83.1%, exceeding 2019 levels by 0.72 percentage points [2] - Domestic passenger load factor was 83.6%, while international and regional routes reached 81.7% [2] Cost Structure - Unit RPK revenue declined by 11.6% YoY in Q2 2024 to RMB 0.564 [3] - Unit ASK cost increased by 3.8% YoY in Q2 2024 to RMB 0.453, mainly due to high fuel prices [3] - Financial expenses decreased due to reduced foreign exchange losses of RMB 891 million [2] Fleet and Utilization - The company's fleet size reached 907 aircraft (including 18 freighters) by H1 2024 [3] - Total flight hours in H1 2024 reached 1,536.6 hours, up 15.82% YoY and 4.29% compared to 2019 [3] - The company plans to add 40, 17, and 10 aircraft in 2024-2026 respectively [3] Financial Projections - The report forecasts net profit of RMB 1.28 billion, RMB 4.288 billion, and RMB 5.694 billion for 2024-2026 [4] - EPS is projected to be RMB 0.07, RMB 0.24, and RMB 0.31 for 2024-2026 respectively [4] - Revenue is expected to grow to RMB 203.931 billion by 2026 [4] Valuation - The stock's PE ratio is projected at 80.71x, 24.09x, and 18.14x for 2024-2026 [4] - PB ratio is expected to decline from 2.72x in 2024 to 2.15x in 2026 [4]

Investment Rating - The report maintains a "Buy" rating for the company [1][8]. Core Views - The company reported a significant reduction in losses for H1 2024, with a net profit of -1.23 billion RMB, an improvement of 1.65 billion RMB year-on-year [1]. - The recovery of international routes is expected to benefit the company, with passenger volume on international routes recovering to 87.5% of 2019 levels by July 2024 [1]. - The company has adjusted its net profit forecasts for 2024-2026 to 0.4 billion RMB, 6.9 billion RMB, and 11.3 billion RMB respectively [1]. Financial Performance - In H1 2024, the company's operating revenue reached 84.79 billion RMB, a year-on-year increase of 18.0% [1]. - Passenger transport revenue was 73.4 billion RMB, up 18% year-on-year, driven by increased capacity and load factors [1]. - Cargo revenue increased by 21.6% year-on-year to 8.7 billion RMB, with a 24.18% increase in cargo traffic [1]. - The company's unit cost per seat kilometer decreased by 3.9% year-on-year to 0.44 RMB [1]. Profitability Metrics - The gross profit margin for H1 2024 was 7.4%, an increase of 0.5 percentage points year-on-year [1]. - The company reported a significant decrease in financial expense ratio, primarily due to reduced foreign exchange losses [1]. - The forecasted earnings per share for 2024E is 0.022 RMB, with a projected return on equity (ROE) of 1.06% [4]. Future Outlook - The company is expected to benefit from favorable policies promoting international travel, which may further enhance the recovery of its international routes [1]. - The adjusted profit forecasts reflect a cautious but optimistic outlook for the company's recovery trajectory in the coming years [1].

Financial Performance - China Southern Airlines reported its unaudited interim results for the six months ended June 30, 2024[1]. - The company achieved a passenger turnover of 100 billion RPK, representing a year-on-year increase of 15%[2]. - Revenue from passenger transport reached 50 billion RMB, a 20% increase compared to the previous year[5]. - Operating revenue for the first half of 2024 reached RMB 84,790 million, an increase of 18.04% compared to RMB 71,830 million in the same period of 2023[10]. - The net loss attributable to equity holders of the company improved to RMB (1,054) million, a 63.36% reduction from RMB (2,877) million in the first half of 2023[10]. - Basic and diluted loss per share improved to RMB (0.06) from RMB (0.16), reflecting a 62.50% reduction in loss per share[11]. - The company reported a net loss of RMB 408 million for the six months ended June 30, 2024, significantly improved from a net loss of RMB 2,481 million in the prior year[162]. - Transportation revenue reached RMB 80,494 million, up 18% from RMB 68,138 million year-over-year[161]. Capacity and Operations - The available seat kilometers (ASK) increased by 12% to 120 billion, indicating a strong capacity expansion[3]. - The load factor improved to 82%, up from 78% in the same period last year[4]. - The total passenger kilometers (RPK) increased by 33.46% to 145,636.90 million compared to 109,127.69 million in the same period last year[31]. - The international RPK saw a significant rise of 178.14%, reaching 32,570.62 million from 11,710.03 million[31]. - The total available seat kilometers (ASK) grew by 21.72% to 175,321.27 million from 144,030.87 million year-on-year[32]. - The average passenger load factor improved by 7.30 percentage points to 83.07% from 75.77%[33]. - The company plans to expand its fleet by adding 20 new aircraft in the next 12 months[6]. - Total flight kilometers for the first half of 2024 were 962.74 million, a 17.40% increase from 820.05 million kilometers in the same period of 2023[34]. Financial Position and Assets - Total assets as of June 30, 2024, amounted to RMB 315,422 million, a 1.88% increase from RMB 309,596 million at the end of 2023[10]. - The equity attributable to equity holders of the company as of June 30, 2024, was RMB 35,945 million, a decrease of 3.04% from RMB 37,071 million at the end of 2023[10]. - Total liabilities increased by 2.47% to RMB 263,589 million as of June 30, 2024[45]. - The asset-liability ratio as of June 30, 2024, was 83.57%, up 0.48 percentage points from 83.09% on December 31, 2023[47]. - The company’s total equity decreased to RMB 51,833 million from RMB 52,367 million, a decline of 1.02%[164]. Cash Flow and Investments - Net cash inflow from operating activities decreased by 23.40% to RMB 12,893 million, down from RMB 16,831 million in the same period last year[10]. - Cash and cash equivalents stood at RMB 9,553 million, slightly up from RMB 9,531 million, indicating a marginal increase of 0.23%[163]. - The company recorded a net increase in cash and cash equivalents of RMB 27 million for the six months ended June 30, 2024, contrasting with a net decrease of RMB 6,863 million in the same period of 2023[167]. - Net cash outflow from investing activities was RMB 9,776 million, compared to RMB 4,505 million in the previous year, indicating a significant increase in investment expenditures[167]. Strategic Initiatives - The company is exploring potential mergers and acquisitions to enhance its market position in Asia[8]. - Future guidance indicates a projected revenue growth of 10-15% for the second half of 2024[9]. - The company is focusing on enhancing its digital services to improve customer experience and engagement[10]. - The company has set a target to build a world-class aviation transport enterprise by 2025, focusing on core aviation transport and collaborative development with pillar industries[19]. - The company is actively promoting digital transformation and enhancing its IT research and development ecosystem[28]. Environmental and Social Responsibility - The company adheres to green development principles and continuously improves pollution prevention and environmental management levels[86]. - The company achieved a significant reduction in carbon emissions, with fuel consumption per ton-kilometer decreasing to 2.572 tons per 10,000 ton-kilometers[102]. - The company has established an emergency management system for environmental incidents, enhancing its response capabilities[99]. - The company has engaged in various charitable projects, including the "Standing Plan" and "Angel Journey," to support children in need[105]. Risk Management and Compliance - The company has not made any additional disclosures in the interim financial report regarding the new disclosure requirements introduced by the amendments to IFRS 7[175]. - The company’s risk management policies have remained unchanged since December 31, 2023[176]. - There were no bankruptcy restructuring matters during the reporting period[116]. - The company did not face any significant litigation or arbitration matters during the reporting period[116].

中国南方航空股份有限公司 第十届监事会第二次会议决议公告 本公司监事会及全体监事保证本公告内容不存在任何虚假 记载、误导性陈述或者重大遗漏，并对其内容的真实性、准确性 和完整性承担法律责任。 一、监事会会议召开情况 2024 年 8 月 29 日，中国南方航空股份有限公司（以下简称 "本公司""公司"）第十届监事会第二次会议在广州市白云区 南航明珠大酒店 3 楼 3 号会议室以现场会议方式召开。应出席会 议监事 3 人，实际出席会议监事 2 人，杨斌监事因公未出席本次 会议，授权魏振兴监事代为出席会议并表决。本次会议由监事会 主席任积东先生主持，公司部分高级管理人员列席。本次会议的 通知和资料已以书面方式发出。会议的召开及表决等程序符合 《中华人民共和国公司法》、本公司章程和本公司监事会议事规 则的有关规定。 二、监事会会议审议情况 经出席本次监事会的监事审议并表决，一致通过以下议案： 证券代码：600029 证券简称：南方航空 公告编号：临 2024-050 （一）关于公司 2024 年半年度报告全文、摘要及业绩公告 1 的议案； 公司监事会全体成员对本公司 2024 年半年度报告全文、摘 要及业绩公告进行 ...

Financial Performance - The company's operating revenue for the first half of 2024 reached CNY 84,790 million, an increase of 18.04% compared to CNY 71,830 million in the same period last year[21]. - The net loss attributable to shareholders of the listed company was CNY (1,228) million, a significant improvement from CNY (2,875) million in the previous year, reflecting a decrease of 57.29%[21]. - The net loss attributable to shareholders after deducting non-recurring gains and losses was CNY (3,464) million, down 12.53% from CNY (3,960) million year-on-year[21]. - The net cash flow generated from operating activities was CNY 15,710 million, a decrease of 20.56% compared to CNY 19,775 million in the previous year[21]. - As of the end of the reporting period, the net assets attributable to shareholders of the listed company were CNY 35,484 million, down 3.53% from CNY 36,784 million at the end of the previous year[21]. - The total assets of the company increased to CNY 314,935 million, reflecting a growth of 1.85% from CNY 309,226 million at the end of the previous year[21]. - Basic loss per share for the first half of 2024 was (0.07) CNY, a 56.25% improvement from (0.16) CNY in the same period last year[22]. - The weighted average return on equity increased by 3.86 percentage points to (3.40)% compared to (7.26)% in the previous year[22]. Operational Efficiency - The company improved its operational efficiency, achieving an average passenger load factor of 83.07%, up by 7.30 percentage points[40]. - The company achieved a total flight time of 1.537 million hours, maintaining a leading safety level in the industry[33]. - The company expanded its cargo transport capacity, with total revenue ton kilometers (RTK) increasing by 30.40% to 17.32 billion[39]. - The total number of flights increased by 9.31% to 556.49 thousand flights, with international flights rising by 142.69%[41]. - Operating costs rose by 17.42% to RMB 78,551 million, driven by increased fuel costs which surged by 22.32% to RMB 27,885 million[49]. Market and Industry Trends - The total turnover of the civil aviation industry reached 70.3 billion ton-kilometers, with passenger transport volume at 350 million, and cargo and mail transport volume at 4.174 million tons, representing year-on-year growth of 32.2%, 23.5%, and 27.4% respectively[30]. - The company anticipates global civil aviation revenue to reach $996 billion in 2024, a year-on-year increase of 9.7%[83]. Strategic Initiatives - The company aims to build a world-class airline by 2025, focusing on core air transport and collaborative development with pillar industries[29]. - The company is implementing a digital transformation strategy to enhance operational efficiency and service quality[29]. - The company is focusing on building a hub network centered around Guangzhou and Beijing to create new profit models and development methods[31]. - The company plans to explore the application of large models in the civil aviation sector and establish an algorithm center as part of its technology innovation initiatives[88]. Environmental Commitment - The company is committed to green development and has implemented pollution prevention and environmental management measures[95]. - The company has successfully offset 600 tons of carbon dioxide through its passenger carbon account and flight carbon calculator by June 2024[106]. - The company has implemented a plastic pollution control plan, leading to the release of the first industry standard for non-degradable plastic alternatives in March 2024[107]. - The company promotes green flying and advocates for low-carbon travel to reduce environmental impact[103]. Financial Management - The company has a loan limit of RMB 21 billion with Southern Airlines Finance, with interest rates ranging from 2.8% to 3.3%[125]. - The total amount deposited with Southern Airlines Finance during the reporting period was RMB 204.86 billion, with a year-end balance of RMB 9.98 billion[124]. - The company reported a total of 30,000 million RMB in comprehensive credit with a related party, South Airlines Finance, of which 9,195 million RMB was actually utilized[126]. - The company has issued a total of RMB 16 billion in convertible bonds, with 19,292 holders at the end of the reporting period[154]. Shareholder Information - The largest shareholder, China Southern Airlines Group Co., Ltd., holds 9,404,468,936 shares, representing 51.90% of the total shares[142]. - The total number of common shareholders as of the end of the reporting period is 157,330[139]. - The total number of restricted shares at the end of the reporting period is 803,571,428, which will be released on November 24, 2025[144]. Risk Management - The company faces macroeconomic risks that could impact air passenger and cargo demand, affecting overall business performance[72]. - The company is addressing risks related to exchange rate fluctuations, with a potential impact of RMB 322 million on shareholder equity for a 1% change in USD/CNY exchange rate[80]. - Fuel costs are a major expense, with a 10% change in average fuel prices potentially affecting operating costs by RMB 2,789 million[81].

证券代码：600029 证券简称：南方航空 公告编号：临2024-051 中国南方航空股份有限公司 关于会计政策变更的公告 本公司董事会及全体董事保证本公告内容不存在任何虚假 记载、误导性陈述或者重大遗漏，并对其内容的真实性、准确性 和完整性承担法律责任。 重要内容提示： ● 中国南方航空股份有限公司（以下简称"公司"）本次发 生会计政策变更系依据财政部颁布的于 2024 年 1 月 1 日生效的 《企业会计准则解释第 17 号》相关规定及指引要求实施。 ● 本次会计政策变更将影响公司于以前年度发行的可转换 公司债券的列报，即将主债务工具对应的金额划分为流动负债， 并将其从"应付债券"重分类为"其他流动负债"。 一、会计政策变更概述 公司于 2024 年度执行了财政部于近年颁布的企业会计准则 相关规定及指引，即《企业会计准则解释第 17 号》(财会[2023]21 号)(以下简称"解释第 17 号")中"关于流动负债与非流动负 债的划分"的规定。 1 根据解释第 17 号的规定，公司在对负债的流动性进行划分 时，仅考虑公司在资产负债表日是否有将负债清偿推迟至资产负 债表日后一年以上的实质性权利(以下简称"推迟 ...

证券代码：600029 证券简称：南方航空 公告编号：临2024-049 中国南方航空股份有限公司 第十届董事会第二次会议决议公告 经出席本次董事会的董事审议并表决，一致通过以下议案： （一）关于公司 2024 年半年度报告全文、摘要及业绩公告 的议案； 1 该议案已经公司董事会审计与风险管理委员会审议通过，并 同意提交公司董事会审议。 表决情况：同意 6 票、反对 0 票、弃权 0 票，表决结果：通 过。 本公司董事会及全体董事保证本公告内容不存在任何虚假 记载、误导性陈述或者重大遗漏，并对其内容的真实性、准确性 和完整性承担法律责任。 一、董事会会议召开情况 2024 年 8 月 29 日，中国南方航空股份有限公司（以下简称 "本公司""公司"）第十届董事会第二次会议在广州市白云区 南航明珠大酒店 3 楼 5 号会议室以现场会议结合视频会议的方 式召开。本次会议应出席会议董事 6人，实际出席会议董事 6人。 本次会议由董事长马须伦先生主持，公司部分监事及部分高级管 理人员列席。本次会议的通知和资料已以书面方式发出。会议的 召开及表决等程序符合《中华人民共和国公司法》以及本公司章 程的有关规定。 二、董事会 ...

中国南方航空股份有限公司对中国 南航集团财务有限公司的 风险持续评估报告 一、南航财务公司基本情况 中国南航集团财务有限公司（以下简称南航财务公司）是中 国南方航空集团有限公司（以下简称南航集团）的控股子公司, 1994 年 1 月 27 日经中国人民银行批准设立, 1995 年 6 月 28 日 经广东省工商行政管理局登记正式成立。 法定代表人:姚勇 企业类型：有限责任公司(外商投资企业与内资合资) 金融许可证机构编码：L0059H244010001 统一社会信用代码：91440000231120157L 经 营 范围:吸收 成 员 单 位 存 款 ; 办理 成 员 单 位 贷 款 ; 办理 成 员单位票据贴现;办理成员单位资金结算与收付;提供成员单位 委托贷款、债券承销、非融资性保函、财务顾问、信用鉴证及咨 询代理业务;从事同业拆借;办理成员单位票据承兑;办理成员 单位产品买方信贷;有价证券投资（股票二级市场投资除外）; 对金融机构的股权投资;银行业监督管理机构批准的其他业务。 = 1 - 二、南航财务公司内部控制基本情况 （一）控制环境 注册地址：广东省广州市白云区齐心路 68 号中国南方航空 大厦 1 ...

证券代码：600029 证券简称：南方航空 公告编号：临 2024-048 中国南方航空股份有限公司 关于召开 2024 年半年度业绩说明会的公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记 载、误导性陈述或者重大遗漏，并对其内容的真实性、准确性和完 整性承担法律责任。 重要内容提示： http://roadshow.sseinfo.com/） ● 会议召开方式：上证路演中心视频录播和网络互动 ● 投资者可于 2024 年 8 月 26 日（星期一）至 8 月 29 日（星 期四）16:00 前登录上证路演中心网站首页点击"提问预征集"栏 目或通过公司邮箱 ir@csair.com 进行提问，邮件标题请注明"600029 业绩说明会"，公司将在说明会上对投资者普遍关注的问题进行回 答。 中国南方航空股份有限公司（以下简称"公司"）2024 年 8 月 30 日发布公司 2024 年半年度报告，为便于广大投资者全面深入地 1 ● 会议召开时间：2024 年 8 月 30 日（星期五）16:00-17:00 ● 会议召开地点：上海证券交易所上证路演中心（网址： 了解公司 2024 年上半年经营成果与财务 ...

中国南方航空股份有限公司 2024 年 7 月主要运营数据公告 本公司董事会及全体董事保证本公告内容不存在任何虚假 记载、误导性陈述或者重大遗漏，并对其内容的真实性、准确性 和完整性承担法律责任。 2024年7月，中国南方航空股份有限公司及所属子公司（以 下简称"本集团"）客运运力投入（按可利用座公里计）同比上 升12.13%，其中国内、地区、国际分别同比上升1.81%、36.58%、 64.74%；旅客周转量（按收入客公里计）同比上升16.07%，其中 国内、地区、国际分别同比上升6.03%、32.01%、65.89%；客座 率为83.77%，同比上升2.84个百分点，其中国内和国际分别同比 上升3.33和0.58个百分点，地区同比下降2.78个百分点。 货运方面，2024年7月货运运力投入（按可利用吨公里—货 邮运计）同比上升10.43%；货邮周转量（按收入吨公里—货邮运 计）同比上升16.67%；货邮载运率为49.36%，同比上升2.64个百 分点。 2024年7月，本集团新增主要航线情况如下：哈尔滨-济南- 1 哈尔滨、哈尔滨-南京-哈尔滨、哈尔滨-乌鲁木齐-哈尔滨（均为 每周七班）。 2024年7月 ...