MANILA, Philippines — Cebu Pacific, the budget airline led by the Gokongwei group, reported a significant increase in passenger traffic during a challenging first quarter, navigating volatile fuel costs driven by ongoing geopolitical tensions.
In a recent disclosure to the Philippine Stock Exchange, Cebu Air Inc. announced that it carried 7.54 million passengers from January to March, marking an 8.4% rise compared to the 6.95 million recorded in the same period last year.
Domestic travel saw a 7.9% boost to 5.59 million passengers, while international routes experienced a stronger 9.8% growth, reaching 1.95 million travelers. The airline's performance peaked in March, with traffic climbing 11.5% to 2.46 million passengers, despite global aviation facing pressure from escalating jet fuel prices following the outbreak of conflict in Iran on February 28.
CEO Mike Szucs credited the robust demand to seasonal factors, including school breaks that spurred family travel, and the sustained expansion of the carrier's international network.
“For the second quarter, we are taking a cautious and measured approach amid a volatile fuel price environment,” Szucs stated. “We have optimized flight frequencies where appropriate, focusing on routes with stronger demand.”
The airline's growth comes as it continues to manage risks associated with soaring fuel expenses linked to the unresolved Middle East conflict, which has prompted adjustments to flight schedules and operational strategies.