Skip to content

Philippines Today

home of the Global Filipino

Menu
  • News Stories
  • Regional News
  • Business & Economy
  • Science & Technology
  • International
Menu

PAL doubles profit to $34m

Posted on August 30, 2007

PHILIPPINE NEWS SERVICE — Philippine Airlines, owned by taipan Lucio Tan, reported yesterday that its net income doubled to $34.5 million in three months to June, covering the first quarter of its fiscal year 2007, from a restated profit of $17.2 million a year ago.

Company president Jaime Bautista, in a news briefing, said the airline booked a 101 percent growth in net income in the April-to-June period, on the back of a 13 percent growth in revenues and 5 percent increase in passenger volume.

“Overall, the improved performance during the first quarter of current 2007-2008 fiscal year resulted in a significant increase in our bottom line,” PAL said in a report filed with the Securities and Exchange Commission.

Bautista said the airline carried close to 2 million passengers on 5,771 flights to 41 domestic and international destinations in the April-June quarter.

Despite the increased number of flights and seats, passenger load factor rose to 82.18 percent, its highest in over a decade, from 79.32 percent a year earlier.

These brought the airline’s total revenues to $373.4 million in the first quarter, up 13 percent from $331.2 million a year ago. Expenditures also rose 8 percent to $338.9 million, boosted by high jet fuel prices that accounted for about 30 percent of total cost.

Bautista linked the better-than- expected quarterly performance to strong passenger demand during the April-June period, which is considered the peak travel quarter in the highly seasonal air transport business.

He said the second quarter operation, covering the months of July, August and September, could result in a net loss because of lower load factor.

For the whole of fiscal year 2007 ending March 2008, Bautista said PAL may post a net income of at least $30 million and carry a total of 7.5 million passengers, up from 6.9 million a year earlier.

The flag carrier earlier declared a record net income of $140.3 million in its 2006 fiscal year ending March 2007.

“It confirms that we are now restructured to achieve sustained profitability and validates our decision to exit receivership as soon as possible,” Bautista said.

Bautista said the company was securing an approval from the SEC by December to move out of a receivership program in entered in 1998. The SEC approved the rehabilitation plan in 1999.

PAL is currently in discussion with American manufacturer Boeing Co. for six Boeing 777-300 ERs—four on firm order and two on lease, with a price tag of $250 million each.

The airline is also in the midst of acquiring 24 jets under the Airbus 320 family, comprising nine planes on firm orders, two leased A320s, four leased A319s, and five A320 option aircraft.

Bautista said the airline would use the new aircraft to open new flights to East Asia, North America, Europe and New Zealand.

Share this:

  • Facebook
  • Twitter
  • LinkedIn
  • Pinterest
  • More
  • Tumblr
  • Reddit

Related

News Categories

  • Announcement (34)
  • Business & Economy (1,567)
  • Comment and Opinion (74)
    • Random Thoughts (18)
  • Current Issues (425)
    • Charter Change (1)
    • Election (228)
    • Population (6)
  • International (389)
  • Life In Japan (66)
    • Everything Japan (41)
  • Literary (34)
  • Miscellaneous (610)
  • News Stories (5,312)
  • OFW Corner (297)
  • Others (75)
  • People (408)
  • Press Releases (163)
  • Regional News (3,362)
  • Science and Technology (502)
  • Sports & Entertainment (287)

Latest News

  • BSP keeps policy rates anew December 17, 2015
  • NEDA cuts PHL additional rice import for 2016 by 25% December 17, 2015
  • DA cites serious implications of banning genetically modified products December 17, 2015
  • BBL is not yet dead – Drilon December 17, 2015
  • Comelec recognizes Duterte’s CoC for president December 17, 2015
  • NEDA chief sees 2015 growth at 6% despite typhoons December 17, 2015
  • House of Representatives ratifies bicam report on P3.002-T national budget for 2016 December 17, 2015
  • Cebu-based developer invests PHP430M to build 709 townhouse units in north Cebu town December 17, 2015
  • City gov’t eyes P75-M income from economic enterprise December 17, 2015
  • Baguio City LGU presents traffic plan for holiday season December 17, 2015

Archives

Meta

  • Log in
  • Entries feed
  • Comments feed
  • WordPress.org

Science and Technology

  • DOST-ICTO targets 500,000 web-based workers from countryside by 2016
  • (Feature) STARBOOKS: A ‘makeover’ for librarians
  • Science, research reduce ‘cocolisap’ hotspot areas in PHL
  • Montejo to further improve PAGASA and empower scientists
  • 1st PPP in biomedical research produces knee replacement system fit for Asians

Press Releases

  • Microsoft to buy Nokia’s mobile devices business for 5.44-B euros
  • New World Bank climate change report should spur SEA and world leaders into action: Greenpeace
  • Save the Philippine Seas before it’s too late — Greenpeace
  • Palanca Awards’ last call for entries
  • Philippines joins the global call for Arctic protection

Comment and Opinion

  • Remembering the dead is a celebration of life
  • Killer earthquake unlikely to hit Panay Island in near future – analyst
  • It’s not just more fun to invest in the Philippines, it is also profitable, says President Aquino
  • How does one differentiate a tamaraw from a carabao?
  • Fun is not just about the place, it is also about the people, says DOT chief

OFW Corner

  • Ebola infection risk low in Croatia
  • Death toll rises to 41, over 100 still missing in landslide in India
  • Asbestos use in construction a labor hazard
  • 500,000 OFWs to benefit POEA on-line transactions — Baldoz
  • 25 distressed OFWs return home from Riyadh
©2025 Philippines Today | Design: Newspaperly WordPress Theme