Philippine budget carrier Cebu Pacific (CEB) reported a 47.6% dip in 2011 net income to P3.624 billion from P6.922 billion in 2010, due mainly to the soaring cost of aviation fuel.
Pre-tax core net income also dropped 41.8% from P5.781 billion to P3.363 billion.
Consolidated revenues, on the other hand, rose 16.7% from P29.089 billion to P33.935 billion as a result of higher passenger volume and improved take from ancillary products.
Consolidated operating expenses grew 34.3% to P30.408 billion from P22.639 billion. Fuel costs, which constitute about 50% of consolidated operating expenses, jumped 55.2% to P15.22 billion from P9.80 billion. The surge was driven by a 39.3% rise in global prices of aviation fuel.
Earlier, CEB petitioned the Civil Aeronautics Board for a fuel surcharge adjustment of P50 to P100 for all domestic flights.
CEB operates a fleet of 38 aircraft — 10 Airbus A319s, 20 Airbus A320s and 8 ATR-72 500s. Between this year and 2021, the airline will take delivery of 22 more Airbus A320s and 30 Airbus A321neos, as well as two Airbus A320s on operating lease agreements.
Recently, CEB signed a lease agreement with CIT Aerospace for four new Airbus A330-300s that will be used for long-haul routes, including to Australia, India, the Middle East, and parts of Europe and the US, starting third quarter of 2013.
The planes will be delivered from next year until 2014.
Photo from http://www.cebupacificair.com/aboutus/company-info.html
