PAL generated about $98 million in additional revenue during the period, with passenger revenue rising 4.5 percent to $1.47 billion and cargo revenue jumping 30 percent to $98.2 million.
Pricing helps offset fewer passengers
The revenue growth came even as PAL carried 3.1 percent fewer passengers at 8.2 million and load factor eased to 78.9 percent from 81.6 percent.
Higher fares helped offset the softer volumes, while PAL adjusted selected domestic, Middle East and regional flights to manage fuel costs without significantly changing its long-haul international network.
Fuel limits the upside
The main drag was fuel, where expenses jumped 48 percent to $674.5 million, an increase of $219.5 million that was more than twice PAL’s additional revenue during the period.
That pushed PAL to a $25.1 million net loss from a $136.7 million profit a year earlier and reduced ebitda by 28.5 percent to $271 million, even as non-fuel costs increased by just 4.1 percent.
Cash remains solid
PAL nevertheless generated $135 million in positive free cash flow and ended June with $456.3 million in cash, broadly stable from the end of 2025.
International demand remains strong heading into the second half, although higher fares have weighed more heavily on domestic travel, which PAL said remains profitable.
—Edited by Miguel R. Camus
