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Elijah Felice Rosales - The Philippine Star
April 2, 2026 | 12:00am
Based on its financial report, PAL’s parent PAL Holdings Inc. hiked its profit by six percent last year, as revenue went up by three percent to $3.22 billion. PAL’s passenger business took off with $2.73 billion in earnings, as the carrier flew 16.3 million travelers, up by four percent.
STAR / File
MANILA, Philippines — Flag carrier Philippine Airlines (PAL) sustained its profitability in 2025, booking a net income of $160.4 million to bump up its capital for a financially challenging 2026.
Based on its financial report, PAL’s parent PAL Holdings Inc. hiked its profit by six percent last year, as revenue went up by three percent to $3.22 billion.
PAL’s passenger business took off with $2.73 billion in earnings, as the carrier flew 16.3 million travelers, up by four percent.
PAL grew its seat capacity by three percent with the arrival of new aircraft. However, the airline’s load factor dipped to 78.7 percent, from 79.1 percent, showing that its flight capacity grew quicker than demand.
Further, PAL’s ancillary revenues surged by a fourth to $301.2 million, propelled by passengers who purchased seat upgrades. PAL’s cargo business also jumped by four percent to $165 million, ferrying 187.5 million kilos of shipments locally and internationally.
On the other hand, PAL raised expenses by six percent to $3 billion to cover for the addition in scheduled flights and higher maintenance costs.
In 2025 PAL kicked off a fleet refurbishment program covering its Airbus A321ceos, and to date the airline has completed the refurbishment of three units.
PAL also took delivery of Southeast Asia’s maiden A350-1000, the first of nine units considered in the aviation industry right now as the most fuel-efficient long-range aircraft.
PAL also received two A320-200s, deploying it for domestic flights. PAL is leaning on its fleet expansion to support long-term growth and drive up profit margins.
PAL president Richard Nuttall said the financial milestones hit by the airline in 2025 show that the airline has gone on beyond recovering from its pandemic restructuring. Currently, the focus is to build on its financial strength to weather new turbulence from rising fuel prices.
“Despite an industry-wide softening of passenger yields, we, at PAL, successfully defended our topline through disciplined revenue and network management,” Nuttall said.
Last year PAL also emerged as the most punctual airline in Asia and the Pacific, beating some of the world’s finest carriers like All Nippon Airways, Japan Airlines and Singapore Airlines.
