The Singapore Airlines (SIA) Group reported a 4.1 percent year-on-year increase in passenger traffic in June, supported by sustained demand for air travel, the group said on Wednesday.

The airline and its low-cost subsidiary Scoot carried a combined 3.7 million passengers during the month, up 6.3 percent from June last year, SIA said in a bourse filing.

The group's passenger capacity expanded by 6 percent from a year earlier, resulting in a passenger load factor of 87.1 percent.

Cargo performance also strengthened, with cargo carriage rising 8.5 percent year-on-year. The increase was driven by shipments linked to artificial intelligence (AI) and data center projects, as well as front-loaded e-commerce volumes to Europe ahead of the European Union's small-parcel duty that took effect on July 1.

Cargo loads grew 5.1 percent, while cargo capacity declined 2.3 percent, lifting the cargo load factor by 4.2 percentage points to 60.6 percent.

During the month, SIA launched flights to Hangzhou, China, while Scoot began services to Pontianak, Indonesia.

Scoot also resumed flights to Jeddah, Saudi Arabia, on June 22 but suspended the route from July 14 following heightened tensions in the Middle East.

SIA's services to Dubai, United Arab Emirates, remain suspended, said the statement.