Philippine Airlines (PAL) has reported a net income of USD 77 million (PHP 3.9 billion) for the first quarter of 2025. This achievement marks the airline’s 14th consecutive quarter of profitability since the pandemic, reinforcing its financial recovery.
For Q1 2025, PAL generated USD 817 million (PHP 47.3 billion) in revenues. While this was a 1% decrease year-on-year, it was primarily due to lower yields and the timing shift of Holy Week traffic from March 2024 to April this year.
Passenger numbers increased significantly, rising by 5% compared to Q1 2024 to reach 4.1 million travelers. PAL operated over 28,000 flights across its international and domestic network during the quarter, also handling 52.6 million kgs of cargo. The airline reported an operating income of USD 75 million (PHP 4.4 billion) for the period.
PAL is continuing a calibrated multi-year expansion program with steady capacity offerings. In Q1, the airline launched new domestic routes from Manila to Cauayan and Cebu to Catarman.
Further network expansion is planned with new international services announced from Cebu to Ho Chi Minh, commencing in May, and from Manila to Da Nang, commencing in July.
Operating expenses increased by 5% year-on-year, reaching USD 741 million (PHP 43.0 billion). This was driven by factors like higher airport charges, third-party contract costs, and depreciation, although partially offset by lower fuel costs. Quarterly results also included vendor credits for previously grounded aircraft from 2023 and 2024.
Earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at USD 175 million, showing healthy margins of 21%. PAL’s balance sheet strengthens, with decreased long-term obligations and improved total equity.
Commenting on the results, PAL President & Chief Operating Officer Captain Stanley K. Ng stated, “We are greatly encouraged by the support of our valued customers who choose to fly on Philippine Airlines’ global network, and for whom we are investing in progressive product and service improvements, fleet renewal efforts and digital innovations, with safety and reliability as our topmost concerns.”
In addition to its financial performance, the PAL Group achieved a significant safety milestone. Both Philippine Airlines and affiliate carrier PAL Express completed their IATA Operational Safety Audit (IOSA) Renewal Risk Based Audits.
This confirms their adherence to the highest international aviation safety standards. Philippine Airlines has now completed ten consecutive successful IOSA audit renewals since its first registration in 2006, while PAL Express has completed six since its original registration in 2014.
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