Thai Airways (THAI) reported Q2/2025 net profit collapsed 87.3% to 1,537 million baht despite 8.5% revenue growth, hammered by jet fuel costs surging 72.6% amid Middle East geopolitical tensions pushing oil to $187/barrel. Bangkok Airways (BA) saw Q2 profit fall 18% to 332.6 million baht. Both carriers are adapting: THAI ramping fuel hedging to 60% and investing 120 billion baht in new aircraft (Boeing 787 Dreamliner), while BA is cost-cutting with turboprop swaps and route adjustments. H1/2025 shows mixed outlook—THAI down 47% YTD while BA's profits rose 16.3% YTD on airport/dividend income.