CebuPac six-month net loss widened to P5.59 Billion

MANILA, Philippines — Cebu Pacific sank deeper into the red in the second quarter, posting a P5.5-billion net loss that pushed its first-half losses to P5.9 billion, as it grappled with what it described as “one of the most challenging operating environments we have faced post-pandemic.”

In a disclosure on Thursday, the Gokongwei-led budget carrier said the losses came despite an 8-percent increase in first-half revenues to P68.6 billion, driven by sustained passenger demand, higher ancillary revenues and stronger cargo operations.

READ: Cebu Pacific posts 8.4% traffic growth in volatile Q1

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Cebu Pacific also managed to grow passenger traffic by 4 percent during the January-to-June period, carrying 14.5 million passengers and lifting passenger revenues by 7 percent to P47.2 billion.

In the second quarter alone, revenues still rose 7 percent to P35.2 billion as passenger traffic remained resilient despite calibrated fare increases. Passenger revenues climbed 7 percent, while ancillary and cargo revenues grew 4 percent and 18 percent, respectively.

READ: Cebu Pacific orders two A320neos with BDO’s backing

But soaring jet fuel prices and foreign exchange losses more than offset such gains. INQ