Sunday, 29 March, 2020, 3:15 PM
latest IEDCR: No new case in country in 48hrs       Italy death toll passes 10,000 with 889 in a day        First Bangladeshi dies in Qatar from coronavirus       Coronavirus death toll passes 30,000 worldwide       Bangladesh ready to work with UK on coronavirus issue: PM      
Home Business

Cathay Pacific flags significant drop in H1 profit

Published : Tuesday, 18 February, 2020 at 12:00 AM  Count : 56

Feb 17: Cathay Pacific Airways is expecting a significant drop in its first-half results and has also cut capacity due to the coronavirus outbreak, it said on Monday.
Severe travel restrictions as a result of a coronavirus outbreak in China, which has caused about 1,770 deaths across mainland China, have led to a steep rise in flight cancellations.
"The first half of 2020 was already expected to be extremely challenging financially," the company said in a statement.
"As a result of this additional significant drop in demand for flights and consequential capacity reduction caused by the novel coronavirus outbreak, the financial results for the first half of 2020 will be significantly down on the same period last year."
Flight cancellations have led the number of customers seeking refunds to skyrocket. The airline has told those affected, including some air show delegates, that reimbursement could take up to six weeks.
The carrier, which is the most exposed airline outside mainland China to a demand crunch related to the coronavirus, also said in a statement it had cut capacity by 40per cent for February and March, against an earlier planned 30per cent cut.
It also pointed to a likely reduction in April.
Cathay Pacific also posted a 1.3 per centage point decrease in the passenger load factor of Cathay Pacific and Cathay Dragon to 84.7per cent in January.
Meanwhile, Swire Pacific Ltd (0019.HK), Cathay's largest shareholder, said it expects a hit to its first-half results owing to the capacity reductions by Cathay.    -Reuters









« PreviousNext »



Latest News
Most Read News
Editor : Iqbal Sobhan Chowdhury
Published by the Editor on behalf of the Observer Ltd. from Globe Printers, 24/A, New Eskaton Road, Ramna, Dhaka.
Editorial, News and Commercial Offices : Aziz Bhaban (2nd floor), 93, Motijheel C/A, Dhaka-1000. Phone :9586651-58. Online: 9513959, Advertisement: 9513663
E-mail: [email protected], [email protected], [email protected], [email protected],   [ABOUT US]     [CONTACT US]   [AD RATE]   Developed & Maintenance by i2soft