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Cebu Air's 2015 profit soars fivefold on surging passenger numbers

MANILA -- Profit at Cebu Air, the Philippines' largest low-cost carrier, surged fivefold to 4.39 billion pesos ($95 million) last year as passenger numbers surged.

     Last year's net income was a marked improvement from the 853.50 million pesos recorded in 2014, according to the financial statements of the airline, which operates under the brand Cebu Pacific.

     Cebu Air's consolidated revenues grew 8.7% to 56.50 billion pesos as the main sources of income went up across the board.

     Passenger revenues jumped 6.2% to 42.68 billion pesos after ridership reached 18.4 million, 9% more than in 2014. Cebu Pacific has attributed the traffic growth to its expanded long-haul operations to Australia and Middle East, which are home to more than 2 million overseas Filipino workers. Regional routes to China and Japan also perked up passenger volume, the company said.

     Cargo revenues climbed 10.0% to 3.46 billion pesos while ancillary revenues, or fees for excess baggage, rebooking, in-flight sales and other services, surged 19.6% to 10.36 billion pesos.

     Expenses dropped only slightly, by 2.2% to 46.80 billion pesos, as savings from cheaper fuel were offset by higher costs from its expanded long-haul operations.

     Cebu Pacific had 55 aircraft at the end of 2015 and a flight network covering 90 routes and more than 60 destinations.

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