Cebu Pacific remained in the black for a second consecutive quarter, though it has acknowledged the “significant operational headwinds” which has “tempered” its recovery and growth outlook.
For the three months to 30 June, the low-cost operator posted an operating profit of Ps2.5 billion ($44.9 million), reversing the Ps2.8 billion loss in the year-ago period.
Revenue for the quarter rose 62% year on year to Ps22.7 billion as Cebu Pacific carried 29% more passengers compared to 2022.
Still, the carrier notes that revenue and traffic fell below pre-pandemic levels. Revenue, for instance, was 4% down from the same quarter in pre-pandemic 2019, while passenger load factor - at 86% this year - was lower compared to the 90% in 2019.
“Overall improvement in passenger business was seen year on year especially as most international destinations have eased travel restrictions since last year. Passengers, however, were still 8% below pre-pandemic levels, as short haul international travel remained well below 2019,” the airline states.
It adds that it was impacted by supply chain woes, as well as weather-related issues, including a series of typhoons and tropical storms to hit the Philippines during the April-June period.
Operating costs for the quarter rose 20% to Ps20.2 billion, driven by an increase in fleet-related and fuel costs.
The carrier posted a net profit of Ps2.7 billion, reversing the Ps1.9 billion net loss in the year-ago period.
This is the second quarter this year that Cebu Pacific has been profitable. For the January-March quarter, it posted an operating profit of around Ps1.2 billion – its first profit since the start of the pandemic more than three years ago.