Cebu Pacific Air (CEB) on Tuesday announced a return to profitability last year after suffering a net loss in 2022.
The airline unit of the Gokongwei Group posted a net income of P7.9 billion last year, a turnaround from the P14-billion loss in 2022.
It said fourth-quarter net income hit P2.9 billion, an improvement from the P1.9-billion net loss in the same period in 2022.
“Moving forward, we are optimistic that Cebu Pacific’s solid 2023 financial results will set the foundation for a stronger financial performance in 2024,” Cebu Pacific chief finance officer Mark Cezar said.
Cebu Pacific said it generated P90.6 billion in revenue last year, rising 60 percent from the previous year. The fourth quarter also marked Cebu Pacific’s strongest in terms of revenue, as it generated P23.7 billion, or 23 percent higher year-on-year.
Passenger business led the steep recovery with P62.5 billion in revenue, up 78 percent year-on-year on the back of more than 20 million passengers and 140,000 flights flown in 2023, which were 41 percent and 30 percent higher year on year.
The airline’s seat load factor improved to 84 percent, almost 9 percentage points higher year-on-year.
Total operating expenses climbed 20 percent to P82 billion on higher fuel and fleet-related costs.
The airline said it took 18 aircraft deliveries throughout 2023, increasing its fleet to improve its operational resiliency while sustaining capacity growth. Darwin G. Amojelar