Budget carrier Cebu Pacific posted a net loss of nearly ₱6 billion in the first half of the year, impacted by surging jet fuel prices, escalating operating expenses, and a weakening Philippine peso.
According to financial reports from parent firm Cebu Air Inc., the airline suffered a net loss of ₱5.87 billion from January to June, stepping down from the ₱8.97 billion net profit recorded over the corresponding period last year.
Total revenues grew over eight percent to ₱68.56 billion compared to ₱63.33 billion previously; however, operating expenses surged by 23 percent to reach ₱68.23 billion.
Flight-related costs posted the steepest increase, leaping to ₱30.88 billion from ₱20.59 billion due primarily to rising fuel prices. Compounding these pressures, foreign exchange losses expanded to ₱2.46 billion from ₱107 million a year ago, raising the cost of fulfilling dollar-denominated obligations.
Commenting on the operating environment, Cebu Pacific President and Chief Executive Officer Michael Szucs characterized the recent period as among the most demanding for the carrier since the COVID-19 pandemic.
”Despite these external pressures, demand for affordable air travel remained resilient, revenue continued to grow, and we further strengthened our market leadership,” Szucs stated.
Operational metrics showed steady volume growth. Passenger traffic rose 4.3 percent to 14.5 million travelers compared to 13.91 million during the same six-month stretch in 2025, lifting the airline’s domestic market share from 55 percent to 60 percent. Passenger revenues grew 6.8 percent to ₱47.24 billion, ancillary revenues rose 11 percent to ₱17.36 billion, and cargo operations expanded 13 percent to earn ₱3.97 billion.
To position itself for future operational scale, the airline expanded its fleet size to 102 aircraft.
Chief Financial Officer Mark Cezar previously highlighted that this larger fleet improves capacity efficiency during peak demand, supported by flexible arrangements such as wet leases.
In July, Cebu Pacific reached an agreement with Vietnam Airlines to deploy Airbus A320neo aircraft, securing supplementary revenue during the softer third-quarter travel window.