Cebu Pacific is carrying more passengers than ever, but it is paying dearly to do it. The Philippines’ largest budget airline reported an attributable net loss of P6.93 billion for July to September, with an operating loss of around P3.3 billion. Quarterly revenue rose 14% to P27.66 billion, but operating costs climbed 26.9% to P30.96 billion, driven by a 65% year-on-year jump in fuel costs and a weaker peso.
The picture for the year so far is starker. Over the first nine months, the airline lost P12.84 billion, compared with a profit of P9.46 billion in the same period a year earlier. Nine-month revenue rose about 10% to P96.23 billion, while expenses rose 24% to P99.23 billion, with flying costs alone up 52% to P44.13 billion.
Demand, however, has held up. Passenger numbers rose 4% to 20.77 million in the nine months, and the airline expects to carry more than 27 million people in 2026, which would beat last year’s record of 26.88 million. Its final Airbus A330neo is due to arrive by December, taking the fleet to 100 aircraft, and seven more single-aisle jets are scheduled for 2027. The airline currently operates more than 2,190 flights a week.
For travellers in Asia, the results are a useful signal. The gap between rising demand and soaring costs is the same pressure that has kept regional fares high this year. Anyone planning domestic or regional trips in the Philippines over the holiday season should book early, watch for seat sales rather than counting on them, and factor in fuel surcharges when comparing fares.
Sources: Philippine Star, Terminair
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