Cathay Pacific made NT$10 billion last year! Give out 10-week bonuses! Recruit 4,000 more people! Pay attention to C919 and C929!
LED crossbar light suppliers,
low price LED crossbar light,
China airport portable light,
Cheap airport portable light.
On March 12, Cathay Pacific Group announced its full-year results for 2024. Compared with 2023, stronger cargo demand, increased passenger volume, lower fuel prices and improved cost-efficiency will bring a solid financial performance in 2024.
Cathay Pacific Group recorded an attributable profit of HK$9.9 billion in 2024, compared with an attributable profit of HK$9.8 billion in 2023.
Excluding special items, the airlines and subsidiaries under the Cathay Pacific Group recorded an attributable profit of HK$8.8 billion for the full year of 2024, compared with a profit of HK$9.2 billion in 2023. As for the results of affiliated companies (most of which were delayed by three months), the full-year profit was HK$288 million, while a loss of HK$1.6 billion was recorded in 2023.
Cathay Pacific Group Chairman John Heard said: "For the second consecutive year, the Group has achieved solid results, which is a testament to the great efforts and contributions of our global team. The results have enabled the Group to complete buybacks, pay dividends to shareholders, reward colleagues, and make significant investments to continuously improve the customer experience and benefit our home, Hong Kong."
Strong cargo demand and rising yields
Cathay Pacific Cargo performed very well in 2024, especially in the second half of the year, with strong e-commerce demand being the main factor. Overall, cargo volume increased by 11% compared with 2023, while yields increased by about 3%.
Rise in passengers, yields fell
On the passenger side, Cathay Pacific and Hong Kong Express increased their passenger volume by more than 30% in 2024. However, passenger yields (or average revenue per revenue passenger kilometer) continued to normalize as expected as more flights were added to the market. Cathay Pacific's yield fell by 12%, while Hong Kong Express's yield fell more significantly, down 23% from the previous year, reflecting the fierce competition on regional routes.
Cathay Pacific Group is committed to implementing its dual-brand strategy to serve customers with different needs. Cathay Pacific is a full-service premium airline, while Hong Kong Express operates as a low-cost airline. Hong Kong Express encountered short-term operational challenges that affected its revenue in 2024, with an average of five of its Airbus A320neo aircraft grounded throughout the year due to Pratt & Whitney engine problems, and the industry is facing the same problem.
In the long run, Cathay Pacific Group is confident in Hong Kong Express's low-cost business model. Hong Kong Express is committed to providing customers with low fares and more destinations. With the continuous growth of its route network and improved efficiency, it is expected to move towards sustainable profitability. According to data from aviation industry data analysis company OAG, Hong Kong Express is the fastest growing airline in the world and was recently ranked as one of the top five low-cost airlines in the world by AirlineRatings.
Fuel price decline improves cost-effectiveness
The Cathay Pacific Group increased the number of flights last year, but the average aircraft fuel price decreased (excluding fuel hedging), with the unit fuel price falling by more than 9% year-on-year.
Furthermore, with the increase in passenger and cargo volumes, the Cathay Pacific Group (excluding subsidiaries and associates) was able to spread fixed costs further. Compared with 2023, the cost per available ton-kilometer (excluding fuel) decreased by 4.5%.
Repurchase and dividend distribution to reward employees
Cathay Pacific Group redeemed the remaining 50% of the preference shares held by the Hong Kong SAR Government in July 2024, equivalent to HK$9.8 billion. In addition, the dividends distributed by Cathay Pacific Group during the period when the Hong Kong SAR Government held the preference shares, together with the warrants repurchased from the Government in September 2024, paid a total of nearly HK$4 billion to the Government.
In early January 2025, Cathay Pacific also repurchased approximately 68% of its HK$6.7 billion secured convertible bonds due in 2026.
Cathay Pacific Group's full-year results enable us to pay a second interim dividend of HK$49 per share to ordinary shareholders. Together with the first interim dividend already paid, the Group will pay a total of 69 cents per share or HK$4.4 billion in ordinary dividends for 2024.
Sharing achievements with colleagues has always been an important part of Cathay Pacific's culture. The Group is very pleased to pay colleagues a total of more than ten weeks of eligible wages in the form of discretionary bonuses and profit sharing.
Up to 4,000 additional employees by the end of this year
To support the reconstruction plan, Cathay Pacific hired and trained a record 7,000 new employees last year, and the group's total number of employees exceeded 30,000. It is worth noting that Cathay Pacific announced on the 12th that it will continue to hire up to 4,000 people this year, following last year, and its number of employees is expected to increase to 34,000 by the end of this year.
100 billion investment, 100 new aircraft, 100 destinations
He Yili continued: "We are excited about the future of the group. Cathay Pacific is determined to continue to consolidate Hong Kong's position as an international aviation hub, and will strive to increase passenger and cargo capacity and enhance customer experience. The financial performance of the Cathay Pacific Group gives us sufficient confidence to commit more than HK$100 billion to invest in line with the development opportunities brought by the newly completed three-runway system.
"We have begun to receive more than 100 new generation aircraft and launched world-leading cabins, including the Erya business class and the new premium economy class, as well as the new flagship airport lounge and innovative digital services.
"We also continue to expand our global network. The group has announced 11 new destinations since 2025, and will continue to reveal more new destinations. This year, Cathay Pacific and Hong Kong Express's network will exceed 100 passenger destinations.
Focus on domestic C919 and C929
According to Hong Kong media reports, in addition to Boeing and Airbus, Cathay Pacific also maintains exchanges with China Commercial Aircraft Corporation, the manufacturer of the domestic C919, to understand future possibilities. Cathay Pacific's Director of Operations and Aviation Services, Mak Ho-Yun, said: "I believe that Cathay Pacific's route network and market demand require larger single-aisle aircraft, so we are interested in whether China Commercial Aircraft Corporation has plans to launch a stretched version of the C919. In addition, we also want to take a look at the C929 and its engine options to see if there are conditions that meet our future needs for medium-sized wide-body aircraft. "
"Cathay Pacific Group regards Hong Kong as its home and will continue to do its best to enhance Hong Kong's leading position as an international aviation hub, connecting Hong Kong, the Mainland and the rest of the world. I would like to take this opportunity to express my sincere gratitude to all my team members, customers, shareholders and the Hong Kong SAR Government for their continued valuable support to the Cathay Pacific Group."