Cathay flags ‘substantial loss’ for first half of 2020

[Ref Flight International Magazine]

Cathay Pacific group has been hard hit by the coronavirus outbreak, suspending a significant number of flights due to falling demand and related travel restrictions into the territory. It has also urged its staff to take unpaid leave, and has parked several aircraft.

The group issued warning that it expects to incur a “substantial loss” for the first-half of 2020.

Meanwhile, the group recorded 30% reduction in ASKs for February, and massive 65% cut for March and April.
“It is difficult to predict when these conditions will improve,” says Cathay chairman Patrick Healy.

“Following the impact of social unrest in Hong Kong in the latter half of 2019, the first half of 2020 was expected to be extremely challenging financially, with an already-reduced winter season capacity. This has been exacerbated by the negative impact of COVID-19,” says Healy.

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