Philippine Airlines Inc., better known as PAL, said Friday first-quarter net income surged nearly five times to $108.2 million from $22.6 million in the year-earlier period as the flag carrier flew 2 million more passengers at 3.4 million during the quarter.
PAL said operating income also soared to $135.2 million in the first quarter from $33.8million a year ago as both domestic and international travel recovered strongly due to the easing of global mobility restrictions imposed in recent years to stem the spread of Covid-19.
During the quarter, PAL re-introduced routes to several cities in mainland China and launched nonstop flights to Perth, while maintaining regular services to North America, the Middle East, Australia and various destinations around Asia and the Philippines.
Operating expenses for the quarter increased by 48 percent to $641.7 million, reflecting the increase in expenses arising from mounting more flights and higher fuel prices.
“The stronger recovery brings transition challenges that impact our operations, and we commit to make productive use of our improving revenues to invest in fleet upgrades, product improvements, operational support and above all safety,” said Captain Stanley Ng, PAL president and chief operating officer, in a statement.=
PAL has signed a memorandum of understanding to acquire nine Airbus A350-1000 long haul jetliners, the largest version of the high-performance A350 family, to serve nonstop flights to the U.S. and Canada, and potentially to Europe.
Parent firm PAL Holdings Inc. on Friday reported comprehensive income growing 288 percent in the first quarter of the year on higher passenger revenue.
It posted comprehensive income of P5.47 billion during the period from only P1.41 billion last year.
Consolidated revenue went up 78.66 percent to P42.21 billion from P23.62 billion.
PAL Holdings attributed the revenue growth to the 119.53 percent increase in passenger sales and the increase in passenger volume of 156.20 percent.
Its load factor improved significantly as well from 53.84 percent to 81.03 percent during the period.
Consolidated operating expenses rose 58.99 percent to P34.68 billion from P21.83 billion last year as flight operations increased 60.90 percent.
PAL expects the delivery of 13 more Airbus 321-231 NEO aircraft between 2026 and 2029.
The flag carrier is the only airline operating nonstop services between the Philippines and North America, along with the largest network of flights and routes from the Philippines to Japan, the Middle East and Australia.
