Cebu Air (CEB) Q3 2025 earnings summary

Executive summary

• Q3 and 9M 2025 saw strong growth and profitability, with net income up 181% to P9.47 billion, driven by robust travel demand, network expansion, and operational discipline despite seasonal and operational headwinds.

• Strategic capacity management, scheduled maintenance, and continued investment in fleet efficiency positioned the company for a strong Q4 and future growth.

• Completed acquisition of AirSWIFT and step-acquisition of 1Aviation, expanding network and operational control.

• Fleet size reached 98 aircraft with an average age of 6.08 years, serving 82 domestic and 42 international routes.

Financial highlights

• Q3 2025 revenue rose 5% YoY to P24.3B; 9M 2025 revenue up 18% YoY to P87.6B; net income at P9.5B (+181% YoY); EBITDA margin improved to 25.3%.

• Operating income increased 37% to P7.79 billion; passenger volume for 9M reached 20.0M (+14% YoY); seat load factor stable at 84.8%.

• Ancillary and cargo revenues grew 14% and 23% YoY in Q3; 17% and 30% YoY in 9M.

• Cash and cash equivalents stood at P15.85 billion at end-Q3.

• Net income attributable to equity holders was P9.46 billion, with basic EPS at P14.71 and diluted EPS at P7.94.

Outlook and guidance

• Q4 expected to benefit from peak holiday demand, with RASK tracking 5% higher YoY and fares trending up.

• Full-year 2025 capacity growth revised to 11%-13% due to fleet constraints; 2026 capacity growth expected at 6%-12%.

• CapEx for 2025: PHP 35-40 billion; 2026: PHP 30-35 billion, focused on fleet renewal and expansion.

• Capital expenditure commitments for fleet expansion total P441.7 billion, with major deliveries through the mid-2030s.

• Dividend resumption for common shareholders expected after 2025 results; preferred dividends declared at P2.82 billion.