Cebu Pacific reported a net loss of P400 million in the first quarter of 2025, reversing the P466 million profit it posted in the same period last year, as the airline was hit by a weaker peso and rising jet fuel prices.
The budget carrier said foreign exchange losses surged to P1.8 billion during the January-to-March period, up sharply from P250 million a year earlier, mainly because of the peso’s depreciation against the US dollar. Higher fuel costs also weighed on earnings, highlighting the growing pressure on airline expenses amid global economic volatility.
Despite the loss, Cebu Pacific’s core business remained strong. Total revenue rose 10 percent year-on-year to P33 billion, supported by higher flight capacity and steady travel demand in both domestic and international markets. The airline flew 7.5 million passengers during the quarter, up 8 percent from last year, while maintaining a high seat load factor of 83.7 percent.
Passenger revenue increased 6 percent to P22.5 billion, while ancillary revenue — including baggage fees, seat selection, and other add-ons — jumped 19 percent to P9 billion. Cargo operations also improved, with revenue climbing 8 percent to P1.8 billion due to expanded widebody aircraft capacity.
Cebu Pacific ended the quarter with 101 aircraft and more than P23 billion in cash, giving the airline enough financial flexibility to manage short-term risks and continue expansion plans.
Chief Executive Officer Mike Szucs said the airline is taking a cautious approach as fuel prices remain elevated, focusing on protecting profit margins, carefully managing flight capacity, and preserving cash.
The results underscore how external factors such as currency movements and fuel prices can significantly affect airline profitability, even when passenger demand and revenues remain strong.
