Weaker revenues and heightened competition caused the net income of Philippine Airlines’ (PAL) parent to slip in 2024 by 58 percent to P7.02 billion.
Despite this, the flag carrier remained profitable for the fourth consecutive year, buoyed by strong passenger demand.
“We are very pleased with the solid financial performance achieved by the Philippine Airlines team,” PAL president and chief operating officer Captain Stanley K. Ng said.
PAL carried 15.6 million passengers in 2024, a 6 percent increase from the previous year, even as passenger revenues dipped by 3 percent to P154.95 billion, the airline said in a statement on Friday.
PAL operated nearly 111,000 flights during the year, but rising costs weighed on its bottom line. Total operating expenses rose by 3 percent to P161.59 billion, driven by higher lease costs and airport charges.
PAL is also investing in digital transformation projects, including the implementation of a SalesForce Customer Relationship Management platform, RAMCO Maintenance Information System, and SAP’s S4Hana Enterprise Resource Planning system.
Looking ahead, PAL is preparing for the delivery of nine Airbus A350-1000 long-range aircraft and 13 A321neo regional aircraft.
It is also working on reconfiguring A321ceo cabins and enhancing onboard WiFi and in-flight entertainment systems to improve passenger experience.