The 2017 operating losses of Cathay Pacific Group has nearly tripled from a year ago, according to Cathay Pacific Group’s financial report on Monday.
The Hong Kong based airline reported a loss of HK$1.45 billion ($185 million), compared with a loss of HK$525 million a year earlier.
Revenue rose 4.9% to HK$97.3 billion, boosted by cargo operations, despite passenger revenue fell 0.8% during the 12 months period. However, the operating expenses increased 6.7% to HK$99.6 billion.
The net loss swelled to HK$1.26 billion, from HK$575 million a year ago, contributed by competition, hedged fuel price, and heavy operating cost.
Hong Kong conglomerate Swire Pacific is the largest shareholder in Cathay with a 45% stake, while Air China owns 29.99%. and in November, Qatar Airways bought a 9.61% stake.
Cathay group says it will better contain costs in 2018 and look to benefit from slowing in declining passenger yields as global economic conditions improves and take advantage of growing global cargo market.