The operator of budget airline Cebu Pacific Air saw profits decline in the first semester of 2018 as higher costs, led by the higher price of oil and the weaker peso, squeezed margins.
Cebu Air Inc. said in a stock exchange filing yesterday that net income hit P3.31 billion, down 23.6 percent.
The drop came even as revenue hit P37.84 billion, up 6.1 percent.
Cebu Air said passenger revenue rose by 6.3 percent to P28.3 billion. Passenger volume went up 2.6 percent to 10.35 million flyers. Cebu Pacific added that average fare increased by 3.7 percent to P2,734.
Cebu Air said costs went up 14 percent to P33.1 billion, partly as it ramped up operations and increased flights.