Flat revenue and costs have kept the parent company of Philippine Airlines in its loss making status during the third quarter, where it posted an operating loss of Ps2.85 billion ($56.2 million).

PAL Holdings posted a Ps2.85 billion ($56.2 million) operating loss of during the third quarter.

Total revenue at Philippine Airlines’ parent was flat at Ps37 billion during the quarter ended 30 September, while total expenses were unchanged too, at Ps39 billion.

The group’s net loss doubled to Ps5.16 billion as finance charges more than doubled to Ps3.17 billion, compared with the period in 2018. The company attributes the increase to the adoption of a new accounting standard on leases.

During the first nine months of 2018, however, PAL Holdings delivered a Ps782 million operating profit, reversing a previous Ps3.05 billion operating loss.

Total revenue grew 5.6% to Ps118 billion, with passenger income having risen 5.8% to Ps103 billion. Ancillary income increased 18% to Ps8.25 billion, while cargo fell 7.9% to Ps6.9 billion.

Higher maintenance costs from the delivery of additional aircraft, and increased reservation and sales costs sent expenses up by 2.1% to Ps117 billion. Net loss more than doubled to Ps8.5 billion.

Cash and cash equivalents as of 30 September stood at Ps9.13 billion, up from the Ps6.39 billion in the previous year.

Philippine Airlines ended the period with 98 aircraft, a unit more than the carrier had on 31 December 2018.