The parent firm of Philippine Airlines said net loss ballooned by 139 percent to P7.86 billion in the first nine months of the year from a total comprehensive loss of P3.29 billion year-on-year on higher operating expenses.
PAL Holdings recorded a comprehensive loss of P4.85 billion in the third quarter, up 85 percent from a total comprehensive loss of P2.63 billion on year.
Consolidated revenues in the January-to-September period amounted to P117.92 billion, up by 5.6 percent from P111.62 billion on year.
“The increase was mainly from passenger and ancillary revenues due to additional frequencies and new routes which resulted to the growth in passenger volume,” PAL Holdings said. This was partly offset by the decrease in cargo revenues by 7.9 percent.
Consolidated revenues in the third quarter reached P36.67 billion, slightly lower by 0.3 percent from last year’s same period figure of P36.78 billion.
PAL Holding’s consolidated operating expenses rose 2.2 percent to P117.13 billion from last year’s P114.67 billion.
“This was due to the increase in maintenance expense by 8.8 percent and aircraft and traffic servicing expenses by 2.7 percent driven by the growth in fleet, passenger and network operations. Reservation and sales likewise increased by 10.7 percent due to the growth in passenger volume,” the company said.
Lucio Tan Jr., the namesake of his father, was appointed as the new president of PAL Holdings before he died this week.
PAL made the announcement in late October after the resignation of Gilbert Santa Maria.
Sta. Maria, however, will remain as president and chief operating officer of PAL, the operating unit.
PAL executive vice president for treasury, treasurer and chief administrative officer Vivienne Tan, along with Santa Maria and his team, are mapping out strategies to reduce costs, enhance customer experience and increase revenues.
