Core Insights - Cathay Pacific expects to return its Airbus A350 fleet to service by the weekend following a fleet-wide inspection triggered by an in-flight engine issue [1][3] - The engine component failure involved the A350-1000 variant, which uses Rolls-Royce's Trent XWB-97 engines [2] - A total of 15 out of 48 A350s were found to have engine fuel lines requiring replacement, with six already repaired and cleared for operation [3] Company Impact - The disruption led to 45 flight cancellations between September 2 and September 7, primarily affecting regional routes [4] - Cathay Pacific's Chief Operations and Service Delivery Officer highlighted the significance of managing this unprecedented engine component failure [5] - The suspension of A350 flights caused a 6.5% drop in Rolls-Royce shares, raising concerns among investors due to past issues with the Trent 1000 engine [5] Industry Response - Analysts indicated that the engine issue appears to be a "quick fix" with limited long-term impact, alleviating some investor concerns [6] - Rolls-Royce is cooperating with an investigation by Hong Kong authorities and will keep other airlines operating Trent XWB-97 engines informed [6] - Other airlines operating A350s include Qatar Airways, British Airways, Japan Airlines, and Virgin Atlantic [6]

A Cathay Pacific Airbus A350 aircraft at Kingsford Smith Airport on August 18, 2021 in Sydney, Australia. Cathay Pacific Airways Ltd., is the flag carrier of Hong Kong with its main hub being at Hong Kong International Airport. Rolls-Royce shares opened higher Tuesday, making up some of the previous session's losses after Cathay Pacific cancelled several flights upon discovering technical issues in aircraft utilizing the British manufacturer's Trent XWB-97 engines. Rolls-Royce shares were 4.6% higher at 8:4 ...

th Canada Career of Canada Comments of and and the program and il in The Property of the Property of T STARTICAL 1 Jetlinerimages I have been following Cathay Pacific (OTCPK:CPCAF, OTCPK:CPCAY) for nearly two years and while I have been seeing fundamentally driven upside for the stock, the reality is that the stock is not performing anywhere near where it should trade based on historic EV/EBITDA multiples. Perhaps with higher costs in the industry and softening of yields driven by macroeconomic concerns, hi ...

Financial Performance - For the six months ended June 30, 2024, the group reported revenue of HKD 49,604 million, an increase of 13.8% compared to HKD 43,593 million in the same period of 2023[6]. - The attributable profit to shareholders of Cathay Pacific Group was HKD 3,613 million, a decrease of 15.3% from HKD 4,268 million in the previous year[6]. - Basic earnings per share decreased by 14.8% to HKD 52.4 cents from HKD 61.5 cents[6]. - Total revenue for Cathay Pacific increased by 14.0% to HKD 44.784 billion in the first half of 2024, up from HKD 39.273 billion in the previous year[40]. - Passenger service revenue rose by 20.0% to HKD 30.017 billion, with available seat kilometers increasing by 42.7%[40]. - Cargo service revenue increased by 1.5% to HKD 10.902 billion, with available cargo ton kilometers rising by 11.4%[40]. - Operating expenses for the group increased by 17.6% to HKD 45.152 billion, compared to HKD 38.403 billion in the first half of 2023[41]. - The operating profit before non-recurring items was HKD 5,907 million, down 11.0% from HKD 6,636 million in 2023[50]. - The net profit for the period was HKD 3,613 million, a decrease of 15.4% from HKD 4,268 million in the previous year[52]. Operational Metrics - The group had available unrestricted cash of HKD 25,416 million, up 27.2% from HKD 19,985 million[6]. - The debt-to-equity ratio improved to 0.78 from 0.88, a decrease of 0.10 times[6]. - The group operated a fleet of 231 aircraft, with 73 new aircraft expected to join in the coming years[4]. - Available tonne-kilometers increased by 22.8% to 11,822 million compared to 9,628 million in the previous year[7]. - Available seat-kilometers rose by 42.7% to 52,881 million from 37,053 million year-on-year[7]. - Revenue passenger kilometers grew by 34.9% to 43,583 million, up from 32,308 million[7]. - Passenger load factor decreased by 4.8 percentage points to 82.4% from 87.2%[7]. - Average aircraft utilization increased by 34.3% to 9.0 hours per day from 6.7 hours[7]. Fleet and Capacity Expansion - The average age of the fleet increased by 0.5 years to 11.5 years compared to 11.0 years last year[7]. - The group plans to replace its Airbus A300-600F freighter fleet with second-hand Airbus A330F freighters by 2025[8]. - The company plans to expand its flight destinations from over 80 to 100 by 2025, having announced 10 new routes this year, with 8 already in service[12]. - The company plans to introduce new seating products over the next three years, including a redesigned business class on the Boeing 777-300ER and new cabins on the Airbus A330 by 2026[12]. Sustainability Initiatives - The group aims to reduce carbon emissions intensity by 12% by 2030 compared to 2019 levels, and has made progress in sustainable aviation fuel initiatives[11]. - The group plans to modernize its fleet with new generation aircraft, including Airbus A321neo, A320neo, Boeing 777-9, and A350F freighters, to support long-term development and achieve net-zero carbon emissions by 2050[11]. - Cathay Pacific aims to achieve net-zero carbon emissions by 2050 and reduce carbon intensity by 12% from 2019 levels by 2030[35]. - The airline plans to reduce single-use plastic per passenger from an average of 7.7 items in 2019 to 1.5 items by 2025[35]. Employee and Recruitment - The group employs over 27,200 staff worldwide, with approximately 22,700 based in Hong Kong[5]. - The group is in a significant recruitment and training phase to meet increasing travel demand, restoring passenger flights to 80% of pre-pandemic levels[9]. - The company will increase its workforce by 5,000 by the end of this year, bringing the total number of employees to 29,000 to support growth[12]. - The "Wellbeing@Cathay" program has been launched to enhance employee mental and physical health, including various health-related activities[37]. Customer Experience and Services - The company is committed to enhancing customer experience with free Wi-Fi services for business class passengers and Cathay Diamond Card members in the coming months[12]. - The company has partnered with Michelin-starred restaurants to enhance in-flight dining experiences, showcasing a range of gourmet meals[18]. - The company is focusing on digitalization and sustainability in its cargo operations, reflecting confidence in Hong Kong as a logistics hub[12]. Financial Management and Investments - The group continues to implement financial risk management policies, including currency, interest rate, and fuel price risk management[47]. - The company has completed the redemption of HKD 9.75 billion in preferred shares and paid HKD 2.4 billion in dividends related to these shares[11]. - The group plans to redeem and cancel all 195,000,000 preferred shares by the end of July 2024, subject to market conditions[85]. - The group issued HKD 18,250 million in non-listed notes under its USD 2.5 billion medium-term note program, compared to no issuance in the previous six months[78]. Market Expansion and Strategic Partnerships - The company is exploring strategic partnerships to enhance its market presence in Asia, particularly in the Greater Bay Area[110]. - The company plans to expand flight services to mainland China, increasing capacity to attract more travelers[17]. - New direct flights to Ningbo will be launched on August 1, 2024, enhancing connectivity in Northeast Asia[17]. Awards and Recognition - Cathay Pacific was awarded "Best Green Cargo Airline of the Year 2024" at the AFLAS Awards in June 2024[22]. - The company received four awards from the Hong Kong Human Resources Management Society, including the Gold Award for Employee Experience[26]. - The company received the "Top 5 Airlines by Absolute Cargo Growth (Global)" award at the Changi Airport Group's 2024 Changi Airline Awards in May[22].

Investment Rating - The investment rating for Cathay Pacific Airways is maintained as "Buy" with a target price adjusted to HKD 11.15 [3][8]. Core Views - The report indicates that while the 1H24 performance was below expectations, the company is still viewed positively in terms of its profit cycle, with expectations for improved profitability and return on equity (ROE) [3][4]. - The company reported a net profit attributable to shareholders of HKD 3.613 billion for 1H24, a year-on-year decrease of 15.3%, while revenue increased by 13.8% to HKD 46.904 billion [3][4]. Summary by Sections Financial Performance - In 1H24, Cathay Pacific's capacity recovery was steady, with ASK/RPK increasing by 42.7%/34.9%, returning to 65%/64% of the levels seen in the same period of 2019 [4]. - The passenger load factor was 82.4%, down 4.8 percentage points year-on-year, while unit revenue per passenger kilometer decreased by 11.0% [4]. - The company recorded passenger revenue of HKD 33.0 billion, a 19.7% increase, and cargo revenue of HKD 12.61 billion, a 1.4% increase [4][5]. Cost Management - Operating costs for 1H24 were HKD 43.7 billion, up 18.2% year-on-year, but unit costs showed a decline due to improved aircraft utilization [5]. - The company achieved an operating profit of HKD 5.91 billion, a decrease of 11.0% year-on-year [5]. Dividend Policy - Cathay Pacific announced an interim dividend of HKD 0.20 per share, reflecting a payout ratio of 38%, indicating a positive outlook on profitability [6]. Future Projections - The report projects net profits for 2024, 2025, and 2026 to be HKD 7.736 billion, HKD 7.929 billion, and HKD 8.112 billion respectively, with corresponding EPS estimates of HKD 1.20, HKD 1.23, and HKD 1.26 [7][11]. - Revenue forecasts for 2024, 2025, and 2026 are set at HKD 105.888 billion, HKD 115.790 billion, and HKD 122.367 billion, reflecting growth rates of 12.07%, 9.35%, and 5.68% respectively [7][11].

Financial Performance - The group's revenue for the six months ended June 30, 2024, was HKD 49,604 million, representing a 13.8% increase from HKD 43,593 million in 2023[3] - The profit attributable to shareholders for the same period was HKD 3,613 million, a decrease of 15.3% compared to HKD 4,268 million in 2023[3] - The basic earnings per share decreased by 14.8% to HKD 0.524 from HKD 0.615 in the previous year[3] - Cathay Pacific recorded a profit of HKD 3.613 billion in the first half of 2024, down from HKD 4.268 billion in the same period of 2023[6] - The group’s airlines and subsidiaries reported a profit of HKD 3.846 billion after excluding special items, down from HKD 4.763 billion in the previous year, primarily due to normalizing ticket prices[6] - The operating profit before tax for Cathay Pacific, excluding special items, was HKD 4,391 million, down 10.2% from HKD 4,890 million[26] - The operating profit for the six months ended June 30, 2024, was HKD 3,372 million, down from HKD 3,959 million in 2023, reflecting a decrease of 14.8%[48] - The net profit attributable to shareholders was HKD 3,613 million, a decrease of 15.4% from HKD 4,268 million in the prior year[41] Revenue Breakdown - Cathay Pacific's passenger revenue increased to HKD 30.17 billion in the first half of 2024, a 20.0% increase compared to the same period in 2023[7] - Passenger service revenue was HKD 33,004 million, up 19.7% from HKD 27,563 million year-on-year[32] - Cargo revenue for Cathay Pacific was HKD 10.92 billion, a 1.5% increase from the previous year, with total cargo tonnage rising by 10.4% to 719,000 tons[7] - Cathay Pacific's cargo service revenue saw a modest increase of 1.5%, reaching HKD 10,902 million, up from HKD 10,741 million[24] Capacity and Operations - The total available tonne-kilometers increased by 22.8% to 11,822 million from 9,628 million in 2023[4] - The available seat kilometers rose by 42.7% to 52,881 million compared to 37,053 million in 2023[4] - The passenger load factor decreased by 4.8 percentage points to 82.4% from 87.2% in the previous year[4] - The passenger flight capacity has been restored to 80% of pre-pandemic levels as of the second quarter of 2024[6] - The total number of passengers carried reached 10.7 million, averaging about 59,000 passengers per day, which is a 36.4% increase year-on-year[7] - In H1 2024, passenger capacity increased by 42.7% to 52,881 million available seat kilometers, with an overall load factor of 82.4%[14] Financial Position - The net debt decreased by 9.1% to HKD 47,971 million from HKD 52,764 million in 2023[2] - The available cash increased by 27.2% to HKD 25,416 million from HKD 19,985 million in 2023[2] - The group's net borrowings decreased by 9.1% to HKD 47,971 million, with a debt-to-equity ratio dropping from 0.69 to 0.61[29] - The total debt as of June 30, 2024, was HKD 66,810 million, a decrease from HKD 68,294 million at the end of 2023[50] - The net debt to equity ratio improved to 0.78 in 2024 from 0.88 in 2023, indicating a stronger balance sheet[50] Dividends and Shareholder Returns - The company declared an interim dividend of HKD 0.20 per share, compared to no dividend in the previous year[3] - The group plans to distribute an interim dividend of HKD 0.20 per ordinary share, payable on October 9, 2024[6] - The company reported no dividend arrears for ordinary shareholders as of June 30, 2024[63] Strategic Initiatives - The group is undergoing an unprecedented recruitment and training phase to meet rising travel demand[6] - The company plans to reach pre-pandemic flight levels by Q1 2025, with an increase of 5,000 employees by year-end, totaling 29,000 staff[12] - The passenger flight network will expand from over 80 to 100 destinations by 2025, with 10 new routes announced this year, 8 of which are already operational[12] - Cathay Pacific aims to modernize its fleet with new aircraft, including Airbus A321neo, A320neo, Boeing 777-9, and A350F freighters, to support long-term development and reduce carbon emissions[11] Sustainability Efforts - Cathay Pacific has set a new target to reduce carbon intensity by 12% by 2030 compared to 2019 levels, reflecting its commitment to sustainability[8] - The company plans to offset 10% of its carbon emissions from business travel with sustainable aviation fuel starting in 2024[31] Market and Demand Insights - Cargo demand in H1 2024 was strong, particularly for e-commerce and traditional air freight, with overall cargo capacity growth exceeding last year's figures[21] - The Southeast Asia market remains strong, with increased passenger volume to mainland China due to visa exemptions, particularly during festive periods[19] - The company is expanding services to mainland China, with additional flights and increased capacity for personal travel plans, enhancing connectivity[16] Governance and Compliance - The company is committed to maintaining high standards of corporate governance and transparency in its operations[68] - The board of directors includes both executive and non-executive members, ensuring a diverse governance structure[71] - The chairman of the board is Ho Yat-Lai, with a team of directors overseeing the company's operations[71]

Core Viewpoint - The aviation sector is struggling to fully recover despite some positive operational data, with many airlines still in a state of loss and unable to achieve profitability [1][2][8]. Group 1: Passenger Flow and Demand - During the 2024 Qingming Festival, the total inter-regional passenger flow reached 750 million, with an average of 250 million per day, marking a 56.1% increase compared to the same period in 2023 and a 20.9% increase compared to 2019 [1]. - The aviation sector saw a passenger volume of 5.1 million during the holiday, which is a 24% increase year-on-year, but only a 2% increase compared to 2019, indicating weak demand relative to other transport modes [1][2]. Group 2: Financial Performance of Airlines - In 2023, only one out of six Hong Kong-listed airlines, Cathay Pacific, reported a profit of 9.067 billion, while the other five remained in loss, with China Eastern Airlines reporting a net loss of 8.168 billion [2][8]. - The overall loss for airlines in 2023 was approximately 17.1 billion, with a significant portion attributed to traditional off-peak seasons and rising oil prices [6][8]. Group 3: Operational Metrics - Domestic flight capacity has surpassed 2019 levels, with international flights recovering to over 60% by the end of 2023. Daily passenger flights averaged 13,514, a 6.5% decrease from 2019 [4]. - The passenger transport volume for domestic routes exceeded 380 million, showing a 1.5% increase compared to 2019, while international routes saw a significant decline of 58% [4][5]. Group 4: Future Outlook - The Civil Aviation Administration of China aims for a passenger transport volume of 690 million in 2024, representing an 11% increase from 2023 and a 4.6% increase from 2019 [8]. - The 2024 Spring Festival saw record passenger numbers, with 83.45 million transported, a 51.1% increase from 2023 and a 14.5% increase from 2019, indicating a potential recovery trend [8]. - Analysts predict a positive outlook for airline performance in 2024, driven by the recovery of international flights, improved cost conditions, and a favorable demand environment [8].

Financial Performance - Revenue increased by 85.1% to HKD 94,485 million in 2023 compared to HKD 51,036 million in 2022[6] - Net profit attributable to Cathay Pacific shareholders was HKD 9,789 million in 2023, a significant improvement from a loss of HKD 6,623 million in 2022[6] - Cathay Group recorded a profit attributable to shareholders of HKD 9.789 billion in 2023, compared to a loss of HKD 6.623 billion in 2022[10] - Cathay Pacific's post-tax profit for 2023 was HKD 11.341 billion, compared to a profit of HKD 1.434 billion in 2022[76] - Total revenue increased by 85.1% to HKD 94.485 billion in 2023[77] - Cathay Pacific's pre-tax profit for 2023 was HKD 10.042 billion, a significant improvement from HKD 2.456 billion in 2022[84] - Net profit for 2023 was HKD 9,790 million (USD 1,255 million), a significant improvement from a net loss of HKD 6,622 million (USD 849 million) in 2022[167] - Basic earnings per share for 2023 were HKD 140.8 cents (USD 18.1 cents), compared to a loss of HKD 112.4 cents (USD 14.4 cents) in 2022[167] - Total comprehensive income for 2023 was HKD 7,937 million (USD 1,018 million), recovering from a comprehensive loss of HKD 8,440 million (USD 1,082 million) in 2022[168] - The company reported a net profit of HKD 9,790 million for the year 2023, compared to a net loss of HKD 6,622 million in 2022[172] Operational Metrics - Available seat kilometers (ASK) surged by 326.8% to 85,607 million in 2023 from 20,056 million in 2022[6] - Passenger load factor improved by 12.1 percentage points to 85.7% in 2023 from 73.6% in 2022[6] - Cargo revenue ton kilometers (RTK) increased by 40.3% to 8,099 million in 2023 from 5,774 million in 2022[6] - Cathay Group's passenger flights recovered to 70% of pre-pandemic levels by the end of 2023, connecting Hong Kong to approximately 80 destinations[10] - Cathay Pacific carried 18 million passengers in 2023, a 541.4% increase from 2022, with an average daily passenger count of 49,300[18] - Cathay Pacific's passenger revenue reached HKD 55.95 billion, a 308.8% increase compared to 2022[18] - Cathay Pacific's cargo revenue decreased by 17.9% to HKD 22.16 billion in 2023, with cargo yield dropping by 41.3% to HKD 2.74[18] - Cathay Pacific's passenger traffic increased by 541.4% to 18 million passengers, with revenue passenger kilometers up by 396.8%[79] - Cathay Pacific's cargo load factor decreased to 62% in 2023 from 70.6% in 2022, but cargo yield remains 46.5% higher than pre-pandemic levels[18] - Cathay Pacific's passenger revenue in 2023 reached HKD 55.951 billion, a 308.8% increase compared to 2022[21] - Cathay Group operated passenger flights at 70% of pre-pandemic levels by the end of 2023, serving approximately 80 destinations[21] - Cathay Pacific carried 18 million passengers in 2023, with an average daily passenger count of 49,300, a 541.4% increase from 2022[21] - The load factor increased by 12.1 percentage points to 85.7% in 2023, while yield decreased by 17.7% to HKD 76.3 cents[21] - Available seat kilometers (ASK) increased by 326.8% in 2023, with the Americas region showing the highest increase at 213.6%[23] - The load factor for the Americas region reached 91.9% in 2023, an increase of 15.0 percentage points from 2022[23] - Cathay Pacific resumed flights from Guangzhou in March 2023, increasing frequency to twice daily[24] - The company introduced upstream port check-in and baggage check services for passengers traveling via the Hong Kong-Zhuhai-Macau Bridge starting August 2023[24] - Cathay Pacific celebrated 40 years of operations in the Americas, resuming the Chicago route in October 2023[25] - The London Heathrow route was restored to a maximum of five daily flights in 2023[26] - Cathay Pacific increased flights to mainland China to 170 weekly flights serving 15 cities and 16 airports by December 31, 2023[28] - The company operated flights to 23 destinations and 25 airports in North Asia by December 31, 2023[28] - Cathay Pacific resumed seasonal flights between Christchurch and Hong Kong in December 2023, marking the first seasonal flight restart since the pandemic[29] - The company operated flights to 7 destinations in South Asia, the Middle East, and Africa by December 31, 2023[30] - Cathay Pacific announced the purchase of up to 32 new Airbus A321neo and A320neo aircraft, expected to be delivered by 2029[32] - The company reopened all Cathay Pacific airport lounges globally, except for Paris Charles de Gaulle Airport, due to terminal maintenance[31] - Cathay Pacific launched a new lounge at Shenzhen Shekou Cruise Home Port, the first of its kind outside an airport in mainland China[31] - The company was ranked 9th in the AirlineRatings.com 2023 Top 25 Airlines in the World[32] - Cathay Pacific was awarded the "5-Star Global Airline" in the 2024 APEX Airline Awards[32] - The company received the "Best Inflight Entertainment" award in the 2023 Skytrax World Airline Awards[32] - Cathay Pacific's cargo revenue in 2023 was HKD 22.162 billion, a decrease of 17.9% compared to 2022[35] - Cargo yield in 2023 decreased by 41.3% to HKD 2.74, with an average load factor of 62%[35] - Available cargo ton kilometers (ACTK) in 2023 increased by 59.7% compared to 2022[37] - Cargo load factor in 2023 was 62.0%, a decrease of 8.6 percentage points from 2022[37] - Cargo revenue ton kilometers (RTK) in 2023 increased by 40.3% compared to 2022[35] - Total cargo tonnage in 2023 increased by 19.7% to 1.381 million tons[35] - Cathay Pacific operated cargo services to 11 destinations in the Americas and 5 in Europe as of December 31, 2023[38] - The company expanded its cross-Pacific routes in late 2023 to meet peak air cargo demand[38] - Cathay Pacific resumed cargo flights to mainland China cities starting in the summer of 2023[38] - The company increased passenger flights to Japan, South Korea, and Taiwan, noting an increase in inbound cargo tonnage[38] - Southeast Asia region saw a significant increase in cargo tonnage to Hong Kong and North Asia due to expanded belly cargo services[40] - Operated cargo services to 5 destinations and belly cargo services to 12 destinations in Southeast Asia as of December 31, 2023[40] - Operated cargo services to 3 destinations and belly cargo services to 5 destinations in the Southwest Pacific region as of December 31, 2023[40] - Cargo flights to Dhaka were reduced from 3 to 2 per week starting January 19, 2023[40] - Cargo flights to Chennai and Delhi were reduced by 1 per week starting winter 2023[40] - Cargo services to Bangalore were suspended starting winter 2023[40] - Announced purchase of 6 new Airbus A350F cargo aircraft with an option for 20 more, with first deliveries expected in early 2027[43] - Nearly half of cargo bookings are now made through the upgraded online booking platform "Book & Go"[40] - Successfully conducted the world's first ONE Record cargo arrangement pilot program with Hong Kong Airport Authority[41] - Cathay Cargo won "Air Cargo Airline of the Year" at the 49th Air Transport World (ATW) Industry Achievement Awards[45] - Cathay Pacific increased the number of redeemable seats per flight by 100% compared to pre-pandemic levels[49] - Cathay Pacific launched a full-mileage redemption website in August 2023, allowing redemptions for popular destinations starting at 3,000 miles[49] - Cathay Pacific's subsidiary, HK Express, resumed flights to pre-pandemic levels in April 2023, operating 130% of pre-pandemic capacity by the end of 2023[53] - HK Express achieved an average load factor of 86% in 2023, a 17.7 percentage point increase from 2022[53] - Cathay Pacific's subsidiary profits in 2023 were HKD 10 million, compared to a loss of HKD 1.764 billion in 2022[52] - Cathay Pacific's associated company losses in 2023 were HKD 1.562 billion, compared to a loss of HKD 6.293 billion in 2022[52] - Hong Kong Express resumed daily flights to Ningbo in March, returning to pre-pandemic levels[54] - Hong Kong Express operated weekly approximately 230 flights serving 15 destinations in North Asia as of December 31, 2023[54] - Hong Kong Express launched daily flights to Hanoi in April and resumed Nha Trang route in June, increasing Vietnam destinations to three[55] - Hong Kong Express operated weekly approximately 72 flights serving 7 destinations in Southeast Asia as of December 31, 2023[55] - Hong Kong Express introduced a customer carbon offset program in October 2023, partnering with CHOOOSE[56] - Hong Kong Express' fleet consisted of 33 Airbus narrow-body aircraft with an average age of 7.1 years as of December 31, 2023[58] - Hong Kong Express received the first 4 Airbus A321-200neo aircraft in 2023, part of a previous order of 16[58] - Hong Kong Express announced the purchase of up to 32 new Airbus A321neo and A320neo aircraft, expected to be delivered by 2029[58] - Hong Kong Express' passenger revenue increased by 749.2% to HK$5,486 million in 2023[60] - Hong Kong Express' available seat kilometers increased by 859.5% to 9,432 million in 2023[61] - Cathay Pacific Catering Services produced 19.4 million meals and handled 43,389 flights in 2023, representing a 379% and 170% increase respectively compared to 2022[63] - Cathay Pacific Cargo Terminal handled 1.4 million tons of cargo in 2023, a 17% increase from 2022[64] - Hong Kong Airport Ground Services accounted for 45% and 17% of the apron and ground handling services market at Hong Kong International Airport in 2023, with flight numbers increasing by 134% and 426% respectively compared to 2022[64] Fleet and Aircraft - The company operates a fleet of 230 aircraft, with 75 new passenger and cargo aircraft expected to join the fleet in the coming years[5] - Cathay Group's total fleet consisted of 230 aircraft with an average age of 10.8 years as of December 31, 2023[7] - Cathay Group has 75 aircraft on order, including 57 for delivery in 2026 and beyond[7] - Cathay Pacific's fleet included 181 aircraft with an average age of 11.1 years as of December 31, 2023[7] - Hong Kong Express's fleet consisted of 33 aircraft with an average age of 7.1 years as of December 31, 2023[7] - Air Hong Kong plans to return 7 A300-600F freighters by 2025 and replace them with 6 second-hand A330F freighters, maintaining a fleet of 15 aircraft[8] - The company announced the purchase of an additional 32 Airbus A321neo and A320neo aircraft, bringing the total number of new aircraft ordered to over 70, with the option to purchase an additional 52[16] - Cathay Pacific will introduce new cabin products, including a redesigned business class and premium economy class on Boeing 777-300ER aircraft in 2024[19] - The company held 28 aircraft under lease agreements as of December 31, 2023, with ownership transferring at the end of the lease term or with a reasonably certain purchase option[188] - The company held 46 aircraft under lease agreements as of December 31, 2023, with ownership not transferring at the end of the lease term[188] - The confirmed lease liability (discounted) for aircraft and related equipment was HKD 26,146 million in 2023, down from HKD 28,683 million in 2022[189] - The potential future lease payments not included in lease liabilities due to extension options were HKD 4,375 million in 2023, down from HKD 5,228 million in 2022[189] - The company prepaid HKD 32.31 billion for aircraft and related equipment to manufacturers as of December 31, 2023, up from HKD 29.64 billion in 2022[192] - The company recognized a HKD 208 million impairment reversal for three previously impaired aircraft that were returned to service[192] - The total prepayments for intangible assets were HKD 20.805 billion as of December 31, 2023, up from HKD 20.468 billion in 2022[193] - The goodwill allocated to Cathay Pacific was HKD 7.884 billion as of December 31, 2023, unchanged from 2022[195] - The discount rate used for the discounted cash flow analysis of Cathay Pacific's cash-generating unit was 9.6% in 2023, up from 9.5% in 2022[195] - The long-term growth rate assumption for cash flows beyond the forecast period was 3% in 2023, unchanged from 2022[195] Financial Position and Liquidity - The company's debt-to-equity ratio decreased to 0.88 times in 2023 from 0.92 times in 2022[6] - Cathay Group's unrestricted available liquidity stood at HKD 20 billion as of December 31, 2023[10] - The company repurchased 50% of the preferred shares in December 2023, amounting to HKD 9.75 billion, with plans to repurchase the remaining 50% by the end of July 2024[11] - The company paid approximately HKD 1.97 billion in preferred stock dividends to the Hong Kong Special Administrative Region Government in 2023[11] - Total assets as of December 31, 2023, amounted to HKD 174,115 million, with significant increases in property, plant, and equipment (HKD 8,731 million) and intangible assets (HKD 340 million)[87] - Borrowings decreased by 11.4% to HKD 68,294 million, with net borrowings (excluding lease liabilities) down by 10.1% to HKD 56,973 million[88] - Unrestricted available liquidity stood at HKD 19,985 million as of December 31, 2023, including HKD 15,530 million in liquid funds and HKD 4,460 million in committed unused credit[88] - Net debt (excluding lease liabilities) decreased by 8% to HKD 41,443 million[88] - Shareholders' equity decreased by 5.9% to HKD 60,226 million, primarily due to the redemption of HKD 9,750 million in preference shares and a reduction in other comprehensive income of HKD 1,853 million[91] - The company recorded a profit of HKD 9,789 million (excluding non-controlling interests), partially offset by dividends paid to preference shareholders of HKD 1,969 million[92] - Unused proceeds from the issuance of equity securities, including HKD 31.1 billion raised in 2020, were fully utilized for general corporate purposes in the first half of 2023[93] - The company proposed a dividend of HKD 2,768 million for the year, with a per-share dividend of HKD 0.43[87] - Total assets decreased to HKD 128,622 million in 2023 from HKD 137,512 million in 2022[169] - Net current liabilities increased to HKD 22,744 million in 2023 from HKD 17,066 million in 2022[169] - Property, plant, and equipment decreased to HKD 116,088 million in 2023 from HKD 118,855 million in 2022[169] - Intangible assets decreased to HKD 14,539 million in 2023 from HKD 14,800 million in 2022[169] - Cash and cash equivalents increased to HKD 7,894 million in 2023 from HKD 7,340 million in 2022[170] - Net cash inflow from operating activities increased to HKD 26,408 million in 2023 from HKD 17,836 million in 2022[170] - Net cash outflow from investing activities decreased to HKD 2,668 million in 2023 from HKD 2,760 million in 2022[170] - Net cash outflow from financing activities increased to HKD 23,178 million in 2023 from HKD 16,236 million in 2022[170] - Interest-bearing liabilities decreased to HKD 57,771 million in 2023 from HKD 62,463 million in 2022[169] - Share capital decreased to HKD 28,828 million in 2023 from HKD 48,322 million in 2022[169] - Cathay Pacific's total equity increased to HKD 60,033 million in

Investors interested in Transportation stocks should always be looking to find the best-performing companies in the group. Has Cathay Pacific Airways Ltd. (CPCAY) been one of those stocks this year? Let's take a closer look at the stock's year-to-date performance to find out.Cathay Pacific Airways Ltd. is one of 132 companies in the Transportation group. The Transportation group currently sits at #13 within the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks ...

When it comes to short-term investing or trading, they say "the trend is your friend." And there's no denying that this is the most profitable strategy. But making sure of the sustainability of a trend to profit from it is easier said than done.Often, the direction of a stock's price movement reverses quickly after taking a position in it, making investors incur a short-term capital loss. So, it's important to ensure that there are enough factors -- such as sound fundamentals, positive earnings estimate rev ...