Cathay Pacific Forecasts Up to 75% Jump in First-Half Net Profit
Quick Look
Hong Kong's Cathay Pacific Airways expects its first-half net profit to surge by up to 75% to HK$6.5 billion (US$829 million), driven by increased passenger and cargo traffic, alongside a HK$1.4 billion gain from its Air China interest dilution.
AI-generated summary
Why It Matters
Cathay Pacific Airways expects its first-half net profit to jump significantly, driven by growth in passenger and cargo traffic and a one-off gain from its interest in Air China.
Hong Kong flag carrier Cathay Pacific Airways expects its first-half net profit to jump by as much as 75 per cent to HK$6.5 billion (US$829 million) from HK$3.7 billion a year earlier, driven partly by growth in passenger and cargo traffic.
The airline said on Wednesday that earnings were also boosted by a one-off gain of about HK$1.4 billion from the dilution of its interest in Air China following a share sale.
It said that it expected net profit to range between HK$6 billion and HK$6.5 billion for the first half of the year.
“Although jet fuel prices remained elevated, Cathay Pacific and HK Express carried a combined total of more than 3.1 million passengers in June, while Cathay Cargo transported around 145,000 tonnes of freight, both up 9 per cent year on year,” said Lavinia Lau Hoi-zee, chief customer and commercial officer.
Growth was recorded across the group’s full-service, low-cost and cargo operations.
Cathay Pacific carried 12 per cent more passengers in June compared with the same month last year and reported a 17 per cent increase for the first six months.
What to Watch
AI outlook — possibilities, not facts
Cathay Pacific's net profit will range between HK$6 billion and HK$6.5 billion for the first half of the year.
Very likely · Within days
Open Questions
- What are the specific strategies for sustained growth?
- How will elevated jet fuel prices impact future quarters?
