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Cebu Pacific’s 2024 net income dropped 32% to P5.4 billion from P7.9 billion in 2023 due to increased fleet and financing costs
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The income decline was posted despite revenue growth of 16% to P104.9 billion in 2024, primarily driven by a significant increase in passengers carried, which jumped 17.6% year-on-year
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Cargo revenues rose 39% to P5.641 billion as a result of a 32.2% hike in volume lifted coupled with 5.2% increase in yield
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Cebu Pacific captured 54.1% of the domestic market, and 20.6% of the international market for 2024
Cebu Pacific’s 2024 net income dropped 32% to P5.4 billion from P7.9 billion in 2023 due to increased fleet and financing costs.
The income decline was posted despite revenue growth of 16% to P104.9 billion in 2024 from P90.6 billion in 2023, driven by a significant increase in passengers carried, which jumped 17.6% year-on-year, the low-cost carrier said in a regulatory disclosure.
Passenger revenues increased 14.2% to P71.303 billion from P62.458 billion, brought about by the increase in passengers carried, which improved seat load factor from 84% to 84.4%, partially offset by lower average fare compared to the previous year.
Cargo revenues rose 39% to P5.641 billion from P4.057 billion as a result of a 32.2% rise in volume lifted coupled with 5.2% increase in yield.
Ancillary revenues jumped 16.1% to P27.964 billion from P24.087 billion, mainly due to the increase in passengers carried.
Operating expenses rose 16.7% to P95.736 billion in 2024 from P82.024 billion in 2023.
Despite facing significant cost pressures, including higher expenses for crew, airport services, and fleet maintenance, Cebu Pacific said it saw a 7% year-on-year increase in operating income, reaching P9.2 billion, and achieving a 9% operating margin.
Through expanded operations and the introduction of new routes and destinations, Cebu Pacific in a separate statement said it captured 54.1% of the domestic market, and 20.6% of the international market for 2024.
By the fourth quarter of 2024, the airline’s market share in the domestic sector went up to 58.4%, while its international market share rose to 22.5%, securing its position as the Philippine’s leading international carrier.
The carrier said it invested in additional aircraft and spare engines to support its growth and ensure operational resilience amid challenges like global supply chain issues. Cebu Pacific ended 2024 with a fleet of 98 aircraft, up 13 from 2023.
“We have always been optimistic about the potential of Philippine aviation, driven by the country’s strong economic, geographic, and demographic advantages. Strategic investments in our fleet and hubs have been key to Cebu Pacific’s growth,” said Cebu Pacific chief finance officer Mark Cezar.
“By capitalizing on these opportunities early, we’ve positioned ourselves as leaders in both the domestic and international markets. This solid foundation gives us great confidence as we look ahead to 2025, where we anticipate continuing our rapid growth and improving both operational and financial performance,” Cezar added.
READ: Cebu Pacific Air ends 2024 with 17th aircraft delivery
1 comment
VERY POOR CUSTOMER SERVICE AND SATISFACTION . THATS THE BOTTOMLINE. I EXPERIENCED IT. NEVER USED CEBU PACIFIC AGAIN.
RETRAIN YOUR TICKET RECEPTIONIST TO HAVE A CUSTOMER M8NDSET AND RESPECT.
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