Cathay Pacific posts USD 834m loss in 2022, looks forward to 2023

Hong Kong : Cathay Pacific Airways reported an annual loss of HKD 6.55 billion (USD 834.4 million) for the 12 months that ended on December 31, 2022, wider than the previous year's loss but near the bottom of its January forecast for a loss of between HKD 6.4 billion and HKD 7 billion.

The airline announced its annual results for the year 2022 on March 8, 2023. 

Cathay shares rose as much as 1.4 per cent to HKD 7.95 after the results were released, reversing morning losses and beating a 2.4 per cent drop in the broader market as investors bet on a turnaround following heavy losses during the pandemic.

However, Cathay Pacific Airways is ready to rebuild the airline and Hong Kong's hub status following the pandemic, the airline's Chief Executive claimed.

Cathay said it was operating about one-third of pre-pandemic passenger flight capacity by December and ended the year operating passenger flights to 58 destinations, double the 29 destinations the airline flew to in January 2022.

"We were very encouraged to see a bright light at the end of the tunnel in the second half of 2022, and the positive momentum has continued into 2023," said Ronald Lam, Chief Executive Officer, Cathay Pacific Airways.

The airline would operate at about 70 per cent of its pre-pandemic passenger flight capacity by the end of 2023, with an aim to return to pre-pandemic levels by the end of 2024, further mentioned the CEO.  

It may be mentioned that the carrier was operating about two-thirds of pre-pandemic cargo flight capacity levels by the end of 2022.
Cathay had parked much of its fleet in the desert during the pandemic due a lack of demand and its recovery has lagged behind traditional rival Singapore Airlines, which faced less strict rules in 2022.

The airline was severely hit by Covid-related flight cancellations, border closures and strict quarantine measures for crew, resulting in drastic headcount reductions.