The increasing number of passengers and the reduction in the fuel prices contributed to the Cathay Pacific’s good performance in the first half of 2015.
Cathay Pacific’s profits increased by 300 per cent in the first six months of 2015, according to its latest released Interim report.
Cathay Pacific, the Hong Kong largest airline, had better performance in the first half of 2015 than the same period in 2014, the report showed.
Compared with the record of 494 million in 2014, the profits for the period went up to 2,130 million with 0.9 per cent decrease in the total revenue, according to the report.
The growth in the number of passengers and the reduction in the fuel cost were the two main factors contributed to the raising profits.
The report showed that the number of passengers reached to 69,689 million by the half of 2015, a 6.4 per cent increase compared with the 2014.
The passenger load factor was higher in the first half of 2015 because of the introductions of the new routes and the increase of the existing routes with strong demands for the travels to Taiwan, Japan and Southeast Asia areas.
The fuel cost declined by HK$7,078 million for half of the 2015, but it remained the most significant cost by taking up 34.2 per cent of all the operating expenses, the report showed.
Due to the plunge of the into-plane fuel price, the reduction in the fuel cost offset the 4.9% increase in the fuel consumption.
The customers paid less money in average to fly one mile as the passenger yield dropped from $66.6 cent to $60.4 cent, and the 11.1% decrease in the Cargo and mail yield also made the service cheaper than 2014, the report showed.
According to Mr. John Slosar, the Chairman of the Cathay Pacific, the company would focus on the qualities of their products and services and have more investments on the aircrafts and network developing in the next half of 2015.