Cebu Pacific to spend P13B in 2015
File photo by Ritchie Tongo / EPA
MANILA, Philippines – Listed Cebu Air Incorporated (Cebu Pacific) raised its capital expenditure commitments by 12.3% for acquisition of aircraft fleet.
Cebu Pacific said in a report to the Securities and Exchange Commission (SEC) that its capital expenditure commitment for aircraft acquisition would amount to P13.1 billion ($294.45 million) this year – P1.44 billion ($32.37 million) higher than the P11.66 billion ($262.13 million) in 2014.
The low cost carrier also increased its investment commitments over the next 5 years by 3.1% to P67.23 billion (1.51 million) instead of P65.2 billion ($1.47 billion).
Cebu Pacific is scheduled to take the delivery of 7 airbus A320 and 30 A321 Neo aircraft between this year and 2021.
It also entered into an agreement with United Technologies International Corporation Pratt & Whitney Division in 2012 to purchase new PurePower® PW1100G-JM engines for its 30 firm and 10 options for A321 NEO aircraft to be delivered beginning 2017.
The airline has signed a forward sale agreement with Las Vegas-based Allegiant Air for the sale of its 6 Airbus A319 to be delivered until 2016.
Cebu Pacific operates a route network serving 55 domestic routes and 36 international routes, with a total of 2,597 scheduled weekly flights.
Cebu Pacific’s 55-strong fleet is comprised of 10 Airbus A319, 31 Airbus A320, 6 Airbus A330, and 8 ATR 72-500 aircraft.
The airline reported a 1,255% jump in net income to P2.22 billion ($49.9 million) in the first 3 months of 2015, from P161.16 million ($3.62 million) in the same period in 2014. Revenues increased 20.7% to P14.2 billion ($319.17 million) from P11.76 billion ($264.45 million). – Rappler.com
US$1 = P44.47
