Saturday, November 17, 2012

PAL Cuts Losses

PAL Holdings Inc., the parent company of flag carrier Philippine Airlines (PAL) cut down its losses during the second quarter of its fiscal year, driven by greater passenger volume and reduced expenses.

The company reported a Php609.17 million loss during the second quarter of its fiscal year, which ran from April 1 to March 31. The figure is 63.95% lower than the Php1.69 billion loss registered last year.

For the period, revenues gained 0.67% to Php18.07 billion on the back of increased passenger revenues while expenses decreased by 4.89% to Php18.68 billion as the cost of flight operations went down.

Conglomerate Lopez Holdings Corp. (LPZ) posted a 66.1% decline in its core income for the third quarter to Php1 billion despite an improvement of 19.32% on the company’s gross revenue.

The drop in net income was largely driven by higher production costs, general and administrative expenses, and cost of sales and services, which rose by 9.21%, 19.35%, and 25.41%, respectively. However, LPZ’s net income for the first nine-months of the year climbed by 52.34% to PHP6.84 billion.