Cathay Pacific Group has reported a 2022 net loss of HK $6.55 billion (US $834 million) or HK $1.113 per share (US $0.14) on a year-over-year increase in revenue of 12 percent to HK $51.04 billion (US $6.5 billion).
On Wednesday (March 8, 2023), Cathay Pacific Group reported their full-year financial results for the period ending December 31, 2022. The Group reported a full year net loss of HK $6.55 billion (US $834 million) or HK $1.113 per share (US $0.14) on a 12 percent year-over-year increase in revenue to HK $51.04 billion (US $6.5 billion). Cathay Pacific’s passenger revenue increased year-over-year by 215 percent to HK $13.686 billion (US $1.74 billion). HK Express reported a 2022 loss of HK $1.36 billion (US $173.1 million), while Air Hong Kong reported a profit of HK $776 million (US $98.9 million). Cathay Cargo’s revenue declined 16.6 percent versus 2021 to HK $27 billion (US $3.44 billion). At December 31, 2022, the company had unrestricted liquidity totaling HK $27.2 billion (US $3.46 billion).
In Wednesday’s announcement, Cathay Pacific Group’s Chairman, Patrick Healy, said in part,
“As Hong Kong’s home airline for more than 76 years, Cathay Pacific represents Hong Kong on the world stage. We are a key enabler of the city’s economic development through our ability to connect Hong Kong to the Chinese Mainland and the rest of the world. We have played our part by maintaining hub connectivity even during the most difficult times of the COVID-19 pandemic, ensuring the important flow of people and cargo continued.
“Cathay Pacific has experienced three challenging years due to the COVID-19 pandemic, with 2022 very much being a year of two halves. The emergence of the Omicron variant at the beginning of the year led to increasingly stringent travel and operational restrictions during the first few months of 2022, particularly in Hong Kong and the Chinese Mainland. This significantly constrained our ability to operate both passenger and freighter flights. The challenge this posed for our business was exemplified on 12th March 2022 when we carried just 58 passengers.
“As the COVID-19 situation in Hong Kong improved and these restrictions were progressively adjusted from 1st May onwards, we were able to slowly add back some of our flight capacity. The most significant adjustments came in September, when the quarantine requirements for both passengers entering Hong Kong and for Hong Kong-based aircrew were lifted…”
Cathay Pacific's FY2022 Financial Results - Courtesy Cathay Pacific Group
During 2022, Cathay Pacific Group took delivery of five new aircraft and reactivated 24 stored aircraft. At the end of 2022, Cathay Pacific had 181 aircraft, HK Express had 26 and Air Hong Kong had 15, for a Group fleet total of 222 aircraft. Currently, 41 aircraft remain in storage outside of Hong Kong. The Group plans on taking delivery on 11 new aircraft in 2023. As of December 31, 2022, Cathay Pacific had completed retrofitting seats in four of six Boeing 777-300ERs, which had previously been converted into ‘preighters’ by removing seats for added cargo capacity during the pandemic. The remaining two will be completed this year.
The company’s lifestyle brand Cathay, introduced in 2021, also introduced an elevated membership experience by bringing the best of the Marco Polo Club and Asia Miles under one Cathay membership program, which currently has over 13 million members. The company also opened their first-ever Cathay branded retail store in Hong Kong.
Source: Cathay Pacific Group
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