Budget carrier Cebu Pacific, led by Lance Gokongwei, continues to soar higher after closing the first nine months of the year with a profit of P5.03 billion, a reversal from the P12.046 billion net loss incurred in the same period in 2022.
For the third quarter alone, Cebu Pacific booked a net income of P1.3 billion, a turnaround from last year’s net loss of P2.5 billion, as well as 2019’s net loss of P384 million.
“CEB continued its financial recovery in the third quarter, and we remain optimistic on its future growth” Cebu Pacific chief finance officer Mark Cezar said.
Cebu Pacific’s revenues for the nine-month period surged by 78.2 percent to P66.9 billion on the back of a significant increase in passenger volume due to higher demand for travel, especially for international destinations.
Passenger revenues from January to September remained strong as it more than doubled to P46.13 billion from P22.48 billion, attributed mainly to the 48.8 percent increase in passenger volume from 10.4 million to 15.5 million.
With the airline ramping-up its international network, international flights soared by 236.2 percent year-on-year.
“Cebu Pacific’s international network recovery continued to gain traction, especially with the opening of more North Asian countries such as Japan, Taiwan and Hong Kong. Meanwhile, domestic travel remained strong,” the airline said.
“Cebu Pacific saw a notable increase in travel demand in the third quarter, attributable to the change in school calendars, which shifted graduation and school breaks towards the months of June to August. This strengthened travel demand not only for domestic, but also for international markets, particularly evident on routes with high OFW population,” it added.
Cargo revenues for the nine-month period, however, fell by 47.1 percent to P2.97 billion as a result of lower cargo kilograms flown and yield from cargo services.