Cebu Pacific Air and wholly owned subsidiary Cebgo posted a three-digit surge in net income for the second year in a row, generating a 122.3% increase in net income for 2016.
In a disclosure to the Philippine Stock Exchange, Cebu Pacific said it earned P9.754 billion in 2016, higher than the P4.387 billion it generated in 2015. This follows the 414% increase in net income in 2015 from the P853.498 million earned in 2014.
The group recorded revenues of P61.899 billion for the period, 9.6% higher than the P56.502 billion revenues earned in 2015, which resulted from the positive performance of the group’s passage, cargo, and ancillary services.
Passenger revenues grew 9.2% to P46.593 billion from P42.681billion. This increase was primarily due to the 4.1% growth in passenger volume in 2016 to P19.1 million from P18.4 million in the previous year.
Cebu Pacific said such steady growth resulted from the increase in the group’s fleet from 55 aircraft in 2015 to 57 aircraft in 2016, and the overall improvement in seat load factor from 82.6% to 86%. The increase in average fares by 4.9% also contributed to the rise in revenues.
Revenue from its cargo operations likewise improved 3% to P3.564 billion from P3.461 billion due to the increase in cargo prices last year.
Ancillary revenues also went up 13.4% to P11.743 billion from P10.359 billion, consequent to the 4.1% increase in passenger traffic and 8.9% increase in ancillary revenue per passenger. Improved online bookings, together with a wider range of ancillary revenue products and services, also contributed to the increase.
Cebu Pacific currently has 66 local and international destinations with over 100 routes, spanning Asia, Australia, the Middle East, and the USA. The airline’s 59-strong fleet is comprised of four Airbus A319, 36 Airbus A320, seven Airbus A330, eight ATR 72-500 aircraft ,and four ATR 72-600.
Cebgo, meanwhile, currently offers flights to 27 Philippine destinations utilizing an exclusive fleet of eight ATR 72-500 aircraft, and four ATR 72-600 aircraft.
Image courtesy of Stuart Miles at FreeDigitalPhotos.net
