Shandong Airlines Co reported a profit last year due to increased travel demand and a stronger yuan.

　　Net income totaled 44 million yuan (US$5.7 million), or 0.11 yuan a share in 2006, compared with a 2005 loss of 274 million yuan, or 0.68 yuan, the company tol d the Shenzhen Stock Exchange. Sales rose 45 percent to 4.2 billion yuan. Levies helped airlines cover higher fuel costs and a 3.3 percent appreciation in the yuan reduced the value of their dollar-denominated debt.