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Transportation

Cathay Pacific Airways Ltd.

  • 11.34 HKD
  • -0.08
  • -0.70%
  • Hong Kong
    Sep 21, 2018
  • Ticker
    HKG(293)
  • Prev. close
    11.42
  • Market cap (HKD)
    44,924.50M
  • Market cap (USD)
    5,728.23M
  • Shares
    3,933.84M

Company Background

Cathay Pacific Airways is Hong Kong's flag carrier, offering passenger and cargo services to around 200 cities in Asia, Europe, North America, Africa and Australia. It has a workforce of around 23,000.

The company was established in 1946 by Roy Farrell, an American, and Sydney de Kantzow, an Australian. Early on, it offered flights to Shanghai, Bangkok, Manila and Singapore.

Swire Pacific, a conglomerate engaged in the property development, beverage, marine services and trading businesses, has owned 45% of Cathay Pacific since 1948. Through the years, Swire has overseen the airline's expansion. In 2006, Cathay Pacific acquired Dragonair, a Hong Kong-based carrier that mainly flies within the Asia-Pacific region. Around the same time, it signed a strategic partnership with national flag carrier Air China.

Air China owns 29.99% of Cathay Pacific.

John Slosar, who also leads Swire, became chairman of Cathay Pacific in 2014. Amid the rise of low-cost carriers, he plans to boost the airline's competitiveness by capitalizing on a new runway at Hong Kong International Airport. The third runway, scheduled for completion in 2023, should allow the airport to handle 102 flights per hour, up from 68, and serve an additional 30 million passengers annually.

Business Summary

Cathay Pacific Airways Ltd. engages in airline operations. It operates through the Airline Business and Non-Airline Business segments. The Airline Business segment comprises of passenger and cargo operations. The Non-Airline Business segment includes airline catering, ground handling, and aircraft ramp handling services. The company was founded by Roy C. Farrell and Sydney H. de Kantzow on September 24, 1946 and is headquartered in Hong Kong.

Financial Highlights

Dec 2017 HKDUSD
Revenue97,284M12,483.80M
Gross Profit13,405M1,720.17M
Operating income4,235M543.44M
Income before tax-580M-74.42M
Net income-1,259M-161.55M
EBITDA13,589M1,743.78M
Diluted EPS-0.32-0.04
Dividends Per Share0.050.00
Total Assets188,378M24,097.57M
Total liabilities127,106M16,259.57M
Total equity61,101M7,816.12M
Operating cash flow4,694M602.34M
Currency in HKDCurrency in USD

Historical Data

 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 100,484M 105,991M 102,342M 92,751M 97,284M
Gross Profit 8,638M 11,285M 19,789M 15,659M 13,405M
Operating income 2,761M 5,744M 14,983M 8,070M 4,235M
Income before tax 2,741M 3,277M 5,500M -1,826M -580M
Net income 2,620M 3,150M 6,000M -575M -1,259M
EBITDA 10,113M 14,083M 23,842M 16,620M 13,589M
Diluted EPS 0.66 0.80 1.52 -0.14 -0.32
Dividends Per Share 0.22 0.36 0.53 0.05 0.05
Total Assets 171,575M 171,974M 172,827M 177,421M 188,378M
Total liabilities 108,562M 120,121M 124,760M 121,895M 127,106M
Total equity 62,888M 51,722M 47,927M 55,365M 61,101M
Operating cash flow 12,949M 10,506M 16,275M 6,530M 4,694M
 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 12,954.57M 13,668.00M 13,201.03M 11,948.66M 12,483.80M
Gross Profit 1,113.62M 1,455.24M 2,552.57M 2,017.27M 1,720.17M
Operating income 355.95M 740.71M 1,932.64M 1,039.61M 543.44M
Income before tax 353.37M 422.58M 709.44M -235.23M -74.42M
Net income 337.77M 406.20M 773.93M -74.07M -161.55M
EBITDA 1,303.78M 1,816.06M 3,075.36M 2,141.07M 1,743.78M
Diluted EPS 0.08 0.10 0.19 -0.01 -0.04
Dividends Per Share 0.02 0.04 0.06 0.00 0.00
Total Assets 22,128.00M 22,176.31M 22,299.82M 22,883.73M 24,097.57M
Total liabilities 14,001.22M 15,489.79M 16,097.75M 15,721.99M 16,259.57M
Total equity 8,110.65M 6,669.63M 6,184.00M 7,140.96M 7,816.12M
Operating cash flow 1,669.40M 1,354.79M 2,099.30M 841.22M 602.34M

Valuation Measures

Dec 2017
PER--
ROA-0.68%
ROE-2.16%
Operating margin4.35%
Profit margin-1.29%

Key executives

  • Chief Executive Officer & Executive Director: Rupert Hogg
  • Director, COO & Chief Service Delivery Officer: Gregory Thomas Forrest Hughes
  • Chief Financial Officer & Executive Director: Martin James Murray
  • Director-Service Delivery: Ying Wah Yau
  • Director, Chief Customer & Commercial Officer: Paul Loo

Shareholders

  • Swire Pacific Ltd. (45.0%)
  • Air China Ltd. (29.9%)
  • Government of Qatar (9.9%)
  • Norges Bank Investment Management (0.4%)
  • Dimensional Fund Advisors LP (0.3%)
  • The Vanguard Group, Inc. (0.3%)
  • Schroder Investment Management Ltd. (0.1%)
  • First State Investments (Singapore) (0.1%)
  • Charles Schwab Investment Management, Inc. (0.0%)
  • GAM International Management Ltd. (0.0%)

Contact Details

  • Website:http://www.cathaypacific.com
  • Address: Cathay Pacific City, 8 Scenic Road, Hong Kong International Airport, Hong Kong, Hong Kong
  • Phone: +852.2747.3333

Related Companies

  • Cathay Pacific Fund Management Ltd.
  • Global Logistics System (HK) Co. Ltd.
  • Connaught Network Services Pvt Ltd.
  • Cathay Pacific Services Ltd.
  • Cathay Pacific Leasing Ltd.
  • Cathay Pacific Airways Ltd. (Australia)
  • Cathay Pacific MTN Financing Ltd.
  • Asia Miles Ltd.
  • CPA Finance Cayman
  • Cathay Pacific Finance Ltd.
  • Cathay Pacific Aircraft Services Ltd.
  • Hong Kong Dragon Airlines Ltd.
  • AHK Air Hong Kong Ltd.

Competitors

  • Air China Limited Class H
  • China Eastern Airlines Corporation Limited Class H
  • Qantas Airways Limited
  • China Southern Airlines Company Limited Class H
  • El Al Israel Airlines Ltd
  • Cebu Air Inc.
  • China Airlines Ltd.
  • PAL Holdings, Inc.
  • Air France-KLM SA
  • JG Summit Holdings Inc.
  • Asia Aviation Public Co., Ltd.
  • Air Canada
  • Nippon Yusen Kabushiki Kaisha
Last Updated on 21 Sep, 2018

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