PAL posts P9.4B net loss in Q1 due to pandemic

Philippine Airlines (PAL) incurred a net loss of P9.4 billion in the first quarter of 2020, a significant increase from the P838 million loss in the same period last year.

The substantial loss is attributed to the global travel restrictions and plummeting demand brought about by the COVID-19 pandemic.

PAL's consolidated revenues fell by 18.3% to P32.1 billion, with passenger revenues nosediving by 21.4%.

Expenses during the period rose by 5.2%, with flying costs going up due to hedging losses.

Tycoon Lucio Tan, through Buona Sorte Holdings Inc., injected approximately P16.33 billion into the airline via cash deposits, saving it from immediate bankruptcy.

PAL had previously announced the layoff of around 300 employees due to financial struggles.