Group 1 - Morgan Stanley reports that Cathay Pacific's (00293) passenger yield is below expectations due to the normalization of long-haul route yields and intensified competition on short-haul routes, despite strong demand for business class and a year-on-year increase in passenger load factor [1] - The market generally anticipates a year-on-year decline in net profit for the full year of 2025, but Morgan Stanley believes the downside risk is limited [1] - The rating is "in line with the market," with a target price of HKD 12.1 [1] Group 2 - Cathay Pacific reported a net profit attributable to ordinary shareholders of HKD 3.65 billion for the first half of 2025, representing a year-on-year increase of 8.3% [1] - Operating profit for the first half was HKD 5.9 billion, unchanged from the same period last year but below market expectations of HKD 6.6 billion [1] - The diluted earnings per share increased by 16.6% year-on-year due to the impact of convertible bond repurchases [1] Group 3 - Total revenue for the first half reached HKD 54.3 billion, a year-on-year increase of 9.5% [1] - Operating cash flow for the first half was HKD 11.2 billion, compared to HKD 10.6 billion in the same period of 2024 [1] - As of June 2025, the group had available liquid funds of HKD 21.5 billion [1] Group 4 - The interim dividend remains at HKD 0.2 per share, unchanged year-on-year [1] - Based on the closing price before the announcement, the dividend yield is 1.7% [1]