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Cebu Pacific posts P22.2 billion net loss in 2020 due to 'severe' pandemic impact

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ABS-CBN News

<div class="embed-wrap"><figure data-feedback="fb:likes,fb:comments"><img src="https://sa.kapamilya.com/absnews/abscbnnews/media/2020/news/06/24/20180416-airport-pal-cebupac-gcs-162903.jpg"/><figcaption>Cebu Pacific airplanes at the Ninoy Aquino International Airport Terminal 3 on April 16, 2018. <em>Gigie Cruz, ABS-CBN News</em></figcaption></figure></div><p>MANILA - Cebu Pacific said Tuesday it posted a net loss of P22.2 billion in 2020 due to the &quot;heavy impact&quot; of the COVID-19 pandemic. </p><p>Revenues in 2020 were 73 percent lower compared to 2019, Cebu Pacific said in a disclosure to the stock exchange. </p><p>Total passengers flown in 2020 reached 5 million or 78 percent lower than the previous year. It made a total of 41,804 flights in 2020 or 71 percent lower than 2019, it added.</p><p>&quot;With health and safety concerns resulting in the decrease of passenger confidence and heightened travel restrictions, CEB’s operational and financial performance were severely affected,&quot; the airline said.</p><p>The lockdown imposed in mid-March 2020 restricted air travel in the country. Globally, airlines were also forced to reduce capacity and implement other cost-cutting measures to stay afloat. </p><p>Gradual operations resumed on June 3, still with restrictions such as requiring documents and health certificates which &quot;continue to be a challenge&quot; for the aviation industry and the travelers as well, it said.</p><p>Before the pandemic, Cebu Pacific said it made 400 flights a day. In the third quarter last year, it flew an average of 47 flights a day, 76 flights daily by December or about 20 percent of pre-pandemic levels, it said. </p><p>Cargo operations delivered unexpected higher yield, it said. Cargo contributed P5.4 billion or 24 percent of its total revenues in 2020.</p><p>The country&#x27;s largest carrier, however, raised P28.5 billion in fresh capital from stock rights offerings and debt to keep operations sustainable in &quot;2021 and beyond,&quot; it said.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/03/04/21/cebu-pacific-offering-stocks-tapping-banks-to-sustain-operations-as-pandemic-drags-on">Cebu Pacific offering stocks, tapping banks to sustain operations as pandemic drags on</a></li>	<li><a href="https://news.abs-cbn.com/business/03/05/21/cebu-pacific-says-board-approves-p16-billion-loan-with-several-domestic-banks">Cebu Pacific signs P16 billion loan with several domestic banks</a></li></ul><p>&quot;Proceeds of these fundraising activities will be used to strengthen Cebu Pacific’s balance sheet by providing liquidity to address its financial liabilities, and working capital for general corporate purposes,&quot; the airline said. </p><p>Local airlines are mandated to serve only essential travelers for domestic flights after the National Capital Region, Bulacan, Cavite, Laguna and Rizal were once again placed under lockdown. </p><p>The Philippines has also put a cap on arriving international passengers to 1,500 per day until April 18 due to the recent surge in COVID-19 cases.</p><ul class="op-related-articles">	<li><a href="https://news.abs-cbn.com/business/03/16/21/ph-sets-cap-on-inbound-international-arrivals-at-naia-amid-covid-19-surge">PH sets cap on inbound international arrivals at NAIA amid COVID-19 surge</a></li></ul><div><strong>RELATED VIDEO: </strong></div><figure class="op-interactive"><iframe allow="autoplay; fullscreen" frameBorder="0" height="100%" id="ivsplayer01" scrolling="no" src="https://player.ivideosmart.com/ivsplayer/v4/dist/html/iframe-src.html?iframeid=ivsplayer01&amp;key=e8c22c015ca9eafa76f1e3edfa03c603&amp;spid=3001339&amp;vid=1640183" width="100%"></iframe></figure><div class="iwantbar">Watch more in <a href="//www.iwantv.com.ph/">iWantv</a> or <a href="//tfc.tv/">TFC.tv</a></div>

<p>Cebu Pacific said Tuesday it posted a net loss of P22.2 billion in 2020 due to the "heavy impact" of the COVID-19 pandemic. <br /> </p>

Cebu Pacific said Tuesday it posted a net loss of P22.2 billion in 2020 due to the "heavy impact" of the COVID-19 pandemic.