Cebu Pacific Income Increases 64% in First Half of 2015

Cebu Pacific, the nation's largest low-cost carrier reported an increase of 64% in its net income for the first half of 2015 versus the same period one year earlier. Low cost carriers Cebu Pacific and Cebgo posted a net income of P5.2 billion pesos for the first half of the year, compared to P3.18 billion earned in the first half of 2014.

cebu pacific a319
Copyright Photo: Angelo Agcamaran/PPSG



Both carriers saw revenue increase by 10.4% over the previous year, while passenger numbers increased 8.2%. Cebu Pacific and Cebgo carried more than 9.2 million passengers in the first half of the year, achieving an average load factor of 81.8%.







The improved financial performance was primarily due to lower fuel costs. However, the savings were offset by increased capacity, expanded long-haul operations, and a weakening Philippine peso. According to Cebu Pacific representative, JR Mantaring, the growth experienced in the first half of the year can be largely attributed to the company's recent expansion.










"Cebu Pacific Group's growth was driven by the launch of Cebu Pacific's operations in Narita, and new long-haul routes including Riyadh, Sydney, and Kuwait," said Mantaring. He added that the launch of additional domestic routes also contributed to the healthy financial performance.

Low fares and the addition of more domestic and international routes are expected to drive the future growth of Cebu Pacific. According to Cebu Pacific President Lance Gokongwei, the budget carrier continues to expand its fleet and increase flights in an effort to attain its target of carrying 18 million passengers this year aboard Cebu Pacific and Cebgo.

"I think we are shooting for about 18 million for both Cebu Pacific and Cebgo," said Gokongwei. "I think the growth will come from some increases in domestic and short haul. In terms of percentage increase, the greatest increase will come from the long haul."

Last June, Cebu Pacific launched new flights to Doha, Qatar. This adds to Cebu Pacific's current network of long-haul cities, which includes Dubai, Riyadh, Sydney, and Kuwait. Meanwhile, the carrier is also looking at launching flights to Hawaii and Guam by the end of the year.

Cebu Pacific currently operates a fleet of fifty-five aircraft serving 55 domestic routes and 36 international routes. Flying from seven hubs in the Philippines, it operates 2,597 scheduled weekly flights.

23 comments:

  1. What irony is this that Cebu Pacific carries the name "Cebu" and yet it offers only very few DIRECT International flights from Cebu. It only offers flights to Tokyo Narita, Singapore and Hongkong as its Korean flights are now only available through "charter flights" and are not available on line anymore as one has to go through its Manila Operators.
    It used to have DIRECT flights to Bangkok, Taipei and Macau from Cebu but was quickly pulled out after a quarter of operations.
    With the few DIRECT INTERNATIONAL flights out from Cebu currently, it might as well changed it's name like to CebGo (from Tigerair) since it does not really reflect that it's really promoting Cebu internationally. Filipinos can't enjoy it's low cost brand service by not serving these routes.

    PAL has been promoting Cebu by expanding its Japan destinations with Tokyo and Nagoya from Cebu and by March 2016 will even go further by launching Cebu-Los Angeles, USA and with this development, hopefully Cebu Pacific will really expand to more international destinations DIRECTLY out of Cebu with the arriving of it's new aircrafts so that at least it can say that they also make Cebu their international hub.

    Suggested destinations for this may include in China (Shanghai, Beijing, Guangzhou, Macau); Thailand (Bangkok and Phuket) Taipei, Bali, Ho Chi Minh; Japan (Osaka & Nagoya) Australia (Sydney); Dubai and Doha in the middle East and maybe Guam.

    Take note that ironically, Kalibo, a second tier city, has more direct international flights to mainland China and other international destinations considering that Cebu is the country's second largest city and major tourist and business destination.
    This can surely decongest NAIA and reduce the delays by making Cebu truly it's international hub and truly deserves its "Cebu" label and as An Island in the Pacific really is.

    The VisMin populace have been clamoring for these flights so that we won't be hassled to fly to Manila to connect to our international flights, saving time, cost and effort and actually, help lessen the congestion in NAIA and the delayed flights prompting more punctual flight schedules.

    Calling Cebu Pacific management to increase its international destinations directly from Cebu!

    ReplyDelete
  2. Cebu Pathetic probably stole the money. Whose to say this tin pot airline is profitable?

    ReplyDelete
    Replies
    1. They were victimized by the uncivilized Chinese like you. C'mon... you people have defecated on airplanes seats & galleys, opened emergency exit doors, hung your underwear to dry at the airport waiting lounges, thrown hot water at cabin crews, etc, etc, etc... Who really gives a shit what this dude has to say? You're like a broken record...

      Delete
    2. Want to know who gives a shit about me? YOU. Because you so happened to reply to my comment.

      Delete
    3. Mr. HK is a typical Chinese with small penis! Get over your issues you idiot!

      Delete
  3. Profits are rising, but yet CP still has the lowest paid employees.

    ReplyDelete
  4. Mr Hong Kong, every time you post on this site you demonstrate your lack of intelligence. To describe CEB as a 'tin pot' airline when it is expanding at a greater rate than its competitors and to suggest balance sheet the figures are false show you for the fool you are

    ReplyDelete
    Replies
    1. Are you trying to question my intelligence? I probably know business more than you and Cebu Pathetic. Cebu Pathetic expanding at a greater rate than its competitors? What happened to the news of them flying to the USA? Oh that's right, they can't because they will bail out on the route.

      They increase profits, but their customer service will always be terrible. Never forget what happened on Christmas.

      Delete
  5. Mr Hong Kong is as intelligent as the Chinese who refuse to believe the piece of B777 wing found recently came from MH370 or those who attacked the BBC reporter covering the Tianjin explosion

    ReplyDelete
  6. MR Hong Kong, The balance sheet say the airline is profitable - you brainless Chinaman!

    ReplyDelete
    Replies
    1. You make me laugh punk. Is that suppose to be a joke? Cebu Pathetic's balance sheet says the airline is profitable? LOL.

      I can't stop laughing in my office because of this joke. Good one anonymous. You call me brainless too. If I were brainless, I wouldn't be alive right? A human needs a brain to live.

      Delete
  7. MR Hong Kong, True if you were brainless you would be dead. You just lack intelligence, respect and dignity.

    ReplyDelete
    Replies
    1. Very funny anonymous. You should join the Comedy channel.

      Delete
  8. Mr Hong Kong, No I am not questioning your intelligence as I know its below average. Go fly on some of your grubby chow airlines and then maybe you will stop criticizing CEB

    ReplyDelete
    Replies
    1. And that grubby chow airline is 100x better than Cebu Pathetic.

      Delete
  9. MR Hong Kong, You continually refer to contributors of this column as punks. I doubt you know the meaning of the word punk. You're obviously depressed as you can only make negative posts about CEB and other bloggers.

    ReplyDelete
    Replies
    1. You don't know the meaning of punk. If I were depressed, I wouldn't be posting here. I will always talk negative about CEB because they are the worst airline to deal business with.

      Delete
  10. Mr Hong Kong, Yes, I do know the meaning of the word punk while its obvious from your use of the word that you don't. If you consider CEB the worst airline to do business with your experience of the airline industry is extremely limited

    ReplyDelete
    Replies
    1. I travel every 2 months to other countries for business reasons. CEB has the worst experience I had ever dealt with in my life. Bad customer service up the ass. I wanted to fly to Davao during Christmas to meet up with a client and I tried CEB again. Only to find out, the employess manning the check-in mysteriously disappeared like magicians.

      Don't say my experience is limited. I know the business very well bro.

      Delete
    2. I can't imagine a busy person, i.e. a bonafide businessman, have the time to constantly write negative posts every time Cebu Pacific is featured on this blog. Obviously this Mr. Hong Kong dude is just another one of those amateurs who have way too much time on their hands. A businessman or an executive does not have time on their hands for the typical petty posts that this freak does... Figure it out guys, ignore this little fool he's not worth our time. Nor is he worth Cebu Pacific's time. They're busy making money while he's busy sulking and pretending to be an important businessman.

      Delete
  11. I can't imagine a busy person, i.e. a bonafide businessman, have the time to constantly write negative posts every time Cebu Pacific is featured on this blog. Obviously this Mr. Hong Kong dude is just another one of those amateurs who have way too much time on their hands. A businessman or an executive does not have time on their hands for the typical petty posts that this freak does... Figure it out guys, ignore this little fool he's not worth our time. Nor is he worth Cebu Pacific's time. They're busy making money while he's busy sulking and pretending to be an important businessman.

    ReplyDelete

Powered by Blogger.