Cebu Pacific income soared in Q1 to P2.24B
MANILA, Philippines — Returning travelers following the Christmas holidays and event-goers flying to their destinations more than doubled the profit of the operator of Cebu Pacific during the first quarter.
On Wednesday, Cebu Air Inc. reported its net earnings in the first quarter soared to P2.24 billion from P1.08 billion in the same period last year as total revenues increased by 21 percent to P25.3 billion.
Passenger revenues, in particular, improved by 25 percent to P18 billion following a heavier passenger movement.
The budget carrier flew 5.5 million passengers in the first three months, up 14 percent from the previous year.
“Growth was supported by returning travelers over the Christmas holidays and Easter break, as well as other Philippine festivals and events,” the Gokongwei-led company explained.
Cargo business grew, too
Cargo business, meanwhile, saw its revenue contribution grow by 11 percent to P1.3 billion. It transported 35 million kilograms of cargo—showing 16-percent growth from the previous year.
READ: Cebu Pacific to buy 100-150 jets worth $12B in biggest aircraft deal in PH history
With the increase in flight activities, operating expenses rose by 15 percent to P23 billion for the period.
“As Cebu Pacific steps into 2024, the airline is committed to sustaining the positive momentum it has started in the past year,” Cebu Pacific chief financial officer Mark Cezar said.
In April, global aviation finance company Avolon announced Cebu Pacific was leasing four new Airbus A33neo aircraft to support its expansion in Asia and the Middle East.
READ: Healthier Cebu Pacific leases four more planes
The first aircraft is scheduled for delivery before the year ends. The rest is expected to be received until 2026.
This year, Cebu Pacific is expecting the delivery of 14 aircraft as it targets to have a 92-jet fleet by the end of the year. INQ
