PAL posts 15th straight profitable quarter

Flag carrier Philippine Airlines (PAL) reported Thursday a 48% annual increase in its bottom line for the April to June period to mark its 15th straight consecutive profitable quarter, driven mainly by higher passenger volumes.

PAL reported a net income of $60 million in the second quarter, as total revenues climbed 6% to $831 million while operating income rose 10% to $71 million.

It carried 4.4 million passengers during the period, up by 9% from the previous year, but growth was tempered by softening international yields, with flights up by 5% to 29,584. Cargo revenues also increased to $2 million, as PAL carried 51,200 tons.

Operating expenses increased by 5% to $761 million, on the back of higher airport and rental charges, third-party contract costs, and depreciation. This was slightly offset by the 11% drop in fuel expenses due to lower global prices.

"To sustain our momentum in this dynamic operating environment, we will continue to focus on generating healthy revenues, maintaining financial discipline, sustaining operational integrity and providing the kind of exemplary travel experience that our customers deserve," PAL President Richard Nuttall said in a media release.

PAL's on-time performance stood at 81.23% for the first half of the year, up from 78.66% in the past year. It operated 57,598 flights and transported 8.47 million passengers during the six-month period.

The carrier is set to introduce 22 new aircraft in the coming years, starting with its first Airbus A350-1000, a long-range jetliner with 382 seats, before the end of the year. It will have eight more A350-1000s and 13 A321neo regional aircraft delivered starting next year.

PAL also expects the delivery of the first 18 retrofitted Airbus A321ceo aircraft with upgraded cabins, enhanced in-flight entertainment systems, and WiFi connectivity in October. — VDV, GMA Integrated News