Cebu Pacific posts P1.18 billion net loss in Q1 amid pandemic

Cebu Air Inc., operator of Cebu Pacific, incurred a P1.183 billion net loss in the first quarter of 2020, a significant drop from the previous year's net income, due to the impact of the COVID-19 pandemic.

The pandemic led to widespread flight cancellations and travel restrictions, causing a 24.9% decrease in revenues to P15.914 billion.

Initial revenue declines were attributed to flight suspensions to China, Hong Kong, Macau, and South Korea.

The situation worsened with the implementation of an enhanced community quarantine in Luzon, forcing Cebu Air to suspend all scheduled flights starting March 19, 2020.

Passenger revenues fell by 27.4% to P11.388 billion, with passenger traffic down by 16.5% during the first quarter.