Cebu Air, Inc.

In the news

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All-star Philippine conglomerates contest to upgrade 'worst' airport Mar 9, 2018

Company Background

Cebu Air operates Cebu Pacific Air, the Philippines' largest budget carrier. The company is a unit of JG Summit Holdings, a diversified conglomerate controlled by the Gokongwei family. The airline began operating in 1996 with its first domestic flight from Manila to the Philippine central island of Cebu. Its international operations began in 2001 with flights from Manila to Hong Kong. By the end of 2013, the company was operating a network of 60 domestic and 32 international routes, with a total of 2,284 scheduled weekly flights.

In April of this year, the EU removed the airline from a safety blacklist, and in June, the company secured clearance from the Federal Aviation Administration to fly to the U.S.

The airline is headed by CEO Lance Gokongwei, the only son of tycoon John Gokongwei, who founded the JG Summit empire as a corn starch producer. The younger Gokongwei, who holds a double degree in finance and applied science from the University of Pennsylvania, sits on the board of major companies controlled by the Gokongwei family, including those involved in food and beverage, real estate, property, banking and petrochemicals.

Business Summary

Cebu Air, Inc. provides air cargo services. It operates as a carrier in the Philippine air transportation industry, which engages in transportation of passengers, mail, merchandise and freight. The company has distribution channels which includes Internet; direct sales through booking; sales offices; call centers and government/corporate client accounts; and third-party sales outlets. It offers ancillary services such as cancellation and rebooking options, in-flight merchandising such as sale of duty-free products on international flights, baggage and travel-related products and services. The company was founded on August 26, 1988 and is headquartered in Cebu, Philippines.

Financial Highlights

Dec 2021	PHP	USD
Revenue	15,740.75M	319.31M
Gross Profit	-20,037.76M	-406.48M
Operating income	-23,157.85M	-469.78M
Income before tax	-26,752.13M	-542.69M
Net income	-24,898.60M	-505.09M
EBITDA	-5,236.30M	-106.22M
Diluted EPS	-42.12	-0.85
Dividends Per Share	0	0
Total Assets	138,253.76M	2,711.25M
Total liabilities	127,644.01M	2,503.19M
Total equity	10,609.74M	208.06M
Operating cash flow	-5,912.88M	-119.94M
	Currency in PHP	Currency in USD

Historical Data

PHP | USD

	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021
Revenue	68,029.13M	74,113.77M	84,806.81M	22,617.96M	15,740.75M
Gross Profit	12,244.98M	9,408.05M	15,597.45M	-17,549.37M	-20,037.76M
Operating income	10,134.27M	7,049.88M	12,621.01M	-20,769.25M	-23,157.85M
Income before tax	8,208.05M	3,483.16M	10,217.44M	-22,579.41M	-26,752.13M
Net income	7,907.84M	3,922.74M	9,122.95M	-22,236.44M	-24,898.60M
EBITDA	18,183.05M	16,635.50M	29,960.17M	-1,562.56M	-5,236.30M
Diluted EPS	11.94	5.95	13.92	-33.98	-42.12
Dividends Per Share	4.11	6.40	0	0	0
Total Assets	111,584.75M	129,391.48M	157,732.57M	128,458.58M	138,253.76M
Total liabilities	71,799.17M	89,289.34M	112,831.59M	105,767.70M	127,644.01M
Total equity	39,785.57M	40,102.13M	44,900.97M	22,690.87M	10,609.74M
Operating cash flow	17,919.94M	15,360.07M	29,306.92M	-12,120.18M	-5,912.88M

	Dec 2017	Dec 2018	Dec 2019	Dec 2020	Dec 2021
Revenue	1,349.39M	1,406.79M	1,637.81M	456.00M	319.31M
Gross Profit	242.88M	178.57M	301.22M	-353.81M	-406.48M
Operating income	201.01M	133.81M	243.74M	-418.73M	-469.78M
Income before tax	162.81M	66.11M	197.32M	-455.22M	-542.69M
Net income	156.85M	74.45M	176.18M	-448.31M	-505.09M
EBITDA	360.67M	315.76M	578.60M	-31.50M	-106.22M
Diluted EPS	0.23	0.11	0.26	-0.68	-0.85
Dividends Per Share	0.08	0.12	0	0	0
Total Assets	2,235.27M	2,460.61M	3,114.47M	2,674.91M	2,711.25M
Total liabilities	1,438.28M	1,698.00M	2,227.89M	2,202.41M	2,503.19M
Total equity	796.98M	762.61M	886.58M	472.49M	208.06M
Operating cash flow	355.45M	291.55M	565.98M	-244.35M	-119.94M

Valuation Measures

Dec 2021
PER	--
ROA	-18.67%
ROE	-149.53%
Operating margin	-147.12%
Profit margin	-158.17%

Key executives

President, CEO & Executive Director: Lance Yu Gokongwei
Chief Financial Officer: Mark Julius V. Cezar
Chief Information Officer: Laureen M. Cansana
Chief Compliance Officer: Andrew L. Huang
Vice President-Corporate Affairs: Paterno S. Mantaring

Shareholders

JG Summit Holdings, Inc. (66.1%)
Matthews International Capital Management LLC (1.9%)
Norges Bank Investment Management (1.4%)
The Vanguard Group, Inc. (0.9%)
Dimensional Fund Advisors LP (0.6%)
Ruffer (Asia) Ltd. (0.5%)
FIL Investment Management (Singapore) Ltd. (0.5%)
BlackRock Fund Advisors (0.5%)
SSgA Funds Management, Inc. (0.2%)
GO JAMES L (0.2%)

Contact Details

Website:http://www.cebupacificair.com
Address: Robinsons Galleria Cebu, General Maxilom Avenue, Level 4, Cebu, 6000, Philippines
Phone: +63.2.880.27000

Related Companies

CEBGO, Inc.
1aviation Groundhandling Services Corp.
South East Asian Airlines, Inc.
Aviation Partnership (Philippines) Corp.

Competitors

PAL Holdings, Inc.
Thai Airways International Public Co. Ltd.
Qantas Airways Limited
Cathay Pacific Airways Limited
Singapore Airlines Ltd.
Capital A Berhad

Last Updated on 4 Oct, 2022