News Column

Cathay Pacific reports 13 times growth in net profit in 1st half

August 13, 2014

The Cathay Pacific Group, which operates Hong Kong's flagship air carriers Cathay Pacific Airways and Dragonair, on Wednesday reported that its net profit in the first six months of the year was HK$347 million (about $45 million), up 1,346 percent on the year.

Group chairman John Slosar said demand for travel from Hong Kong was "robust" in the period, particularly for North Asian destinations like Japan, South Korea and Taiwan.

Passenger yield, the average fare paid per kilometer per passenger, fell by 3.5 percent to HK$0.66 on the back of a 5.3 percent rise in capacity, while cargo yield fell by 6.9 percent with a 10.8 percent capacity growth.

Fuel costs increased by 5.2 percent.

Slosar expected better business in the second half of the year despite "intense competition" in the passenger sector.

The group operates 184 aircraft and covers over 200 destinations worldwide.

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Source: Japan Economic Newswire

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