Budget carrier Cebu Pacific Air and its wholly owned subsidiary, Cebgo (formerly Tigerair Philippines), generated a net income of P2.2 billion in the first quarter of 2015, over 13 times higher than the P164.2 million earned in the same period last year.
The group’s revenue in the first three months of the year increased 20.7% year-on-year to P14.2 billion. Passenger revenue grew 22.2% to P10.8 billion, while revenue from cargo operations went up to P772.5 million, 13.6% higher compared with the earnings in the same period in 2014.
Ancillary revenues likewise escalated 17% to P2.6 billion, driven by improved online bookings and a wider range of ancillary revenue products and services.
The group said it achieved notable passenger growth in domestic and international markets during the first quarter, carrying a total of 4.3 million passengers, up 13% from 3.8 million passengers flown in the same period last year.
The upsurge was largely influenced by growth in passengers flown to and from long-haul destinations such as Dubai, Riyadh, Kuwait, and Sydney.
Cebu Pacific officer-in-charge for corporate affairs Atty. JR Mantaring in a statement said the group attributes its bullish income and passenger growth to increased presence in key markets, strategic seat sales offering the lowest possible fares, and continuous network expansion.
“Our latest operating statistics affirm our objective which is to further stimulate air travel and grow inbound tourism by expanding our services in new destinations,” Mantaring said.
The recent decline in fuel prices also bolstered net income, as the carrier’s total fuel cost in the first quarter was reduced by 22% to P4.32 billion from P5.55 billion expended in the same period last year.
During the first quarter of 2015, Cebu Pacific launched direct Kalibo-Hong Kong and Cebu-Tokyo flights, while Cebgo launched Manila-Legazpi and Cebu-Puerto Princesa flights. Cebu Pacific is also set to introduce direct flights twice a week between Manila and Doha, Qatar starting June 4. The airline will be the only Philippine carrier to fly between these two cities to serve more global Filipinos in the Middle East.
