Cebu Pac, Tiger Airways post 2-digit growth in Jan-Oct passenger volume

MANILA, Philippines - Budget airline Cebu Air Inc. (Cebu Pacific) and low cost carrier Tiger Airways Philippines recorded a double-digit growth in passenger volume in the first 10 months of the year.

The number of passengers ferried by Cebu Pacific and Tigerair jumped 15.7 percent to 13.94 million from January to October this year compared to 12.04 million in the same period last year.

Cebu Pacific vice president for corporate affairs Jorenz Tañada said the sustained growth was “driven by increased presence in key markets, sustained demand for air travel and industry capacity rationalization.”

With the delivery of four brand new aircraft, the capacity of Cebu Pacific and Tigerair grew 13.1 percent to 16.56 million in the first 10 months of the year from 14.64 million in the same period last year.

This translated to a higher load factor of 84.2 percent in the first 10 months of the year from 82.3 percent in the same period last year.

Likewise, the number of flights of the Gokongwei-led airlines rose 5.2 percent to 101,586 from 96,563.

For the month of October alone, volume of passengers carried by Cebu Pacific and Tigerair jumped 24.2 percent to 1.41 million from 1.13 million in the same month last year.

On the other hand, capacity rose 12.8 percent to 1.68 million from 1.49 million translating to a higher load factor of 83.9 percent from 76.2 percent. Number of flights went up by 7.4 percent to 10,318 from 9,605.

He pointed out that the Gokongwei airlines are on its way to meet its target of 17 million passengers this year.

“The Cebu Pacific Air group is on track to meeting our target of serving 17 million passengers this year,” Tañada said.

Cebu Pacific spent $7 million to acquire the 40 percent share of Tiger Airways Singapore Pte Ltd and $8 million for the 60 percent owned by Filipino businessmen in Tigerair.

Cebu Pacific expects to take the delivery of five Airbus aircraft next year under its $4 billion refleeting program. This includes four brand new Airbus A320s and one A330.