Cathay Pacific posts 71% profit rise to HK$6.24 billion in first half of year
Hong Kong flag carrier Cathay Pacific Airways has reported a 71 per cent year-on-year rise in net profit to HK$6.24 billion (US$802 million) for the first six months of 2026, driven by stronger demand. Cathay Group chairman Guy Bradley, who delivered the interim results for the first time since taking up the role earlier this year, said jet fuel prices had come down from their peak in the second…
Cathay Pacific Airways, the flagship carrier of Hong Kong, reported a significant 71% increase in net profit to HK$6.24 billion for the first half of 2026. This surge in earnings was largely attributed to heightened demand for air travel. Guy Bradley, the chairman of Cathay Group, revealed that while jet fuel prices had decreased from their peak during the second quarter, they were again rising due to escalating tensions in the Middle East.
He cautioned that the impact of these higher fuel costs was anticipated to persist throughout the remainder of the year, urging vigilance towards the evolving geopolitical and market conditions.
The airline's revenue surged by 25.3% year-on-year, reaching HK$68.06 billion. Passenger numbers also saw a notable growth, with a 17.5% increase to a total of 16 million passengers in the first half of 2026. Cathay's premium services, low-cost segment, and cargo operations all contributed to this growth. A one-off gain of HK$1 billion, primarily due to the dilution of Cathay's equity stake in Air China, also bolstered the net profit.
Cathay Pacific's budget subsidiary, HK Express, experienced a 9.8% rise in passenger numbers, carrying 4.2 million passengers in the first half of 2026, up from the previous year. However, this growth was tempered by a substantial decrease in its loss before net finance charges and taxation, which plummeted from HK$524 million to HK$73 million.
Looking ahead, the airline remains cautiously optimistic about the upcoming third quarter, driven by strong summer travel demand. Bradley emphasized that despite the rising fuel prices, Cathay remains on track to achieve its 2026 passenger capacity growth target of around 10% as a whole. Additionally, the company plans to invest around HK$150 billion in its fleet, cabin and lounge products, and digital innovation.
Bradley projected that Cathay would add freighter services on trunk routes in response to the anticipated demand surge and expand freighter capacity through Air Hong Kong. He also hinted at the potential addition of 150 new aircraft to the fleet and a network servicing 150 destinations over the next decade, contingent on favorable market conditions.
Written by urgent.news from South China Morning Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
