PHILIPPINE Airlines (PAL) on Wednesday reported a net loss of P9.74 billion for the first nine months of 2026, reversing from a P9.88-billion profit a year earlier.
In a quarterly report to the stock exchange, the flag carrier’s parent company, PAL Holdings Inc., said the loss was due to increase in expenses resulting from a weak peso and higher operating costs.
In a press release, meanwhile, it said the net loss for January–September was $159 million from a $158.7-million profit year earlier, due mainly to a $339.4-million increase in fuel costs to $1.02 billion.
Fuel costs accounted for 39.6 percent of operating expenses, higher than the year-earlier 30.7 percent.
PAL, however, said revenues in the first three quarters of this year rose to $2.5 billion from $2.4 billion on the back of “higher passenger yields and stronger cargo revenue.” Gross revenues for January–September in the quarterly report was P149.96 billion, up from P136.01 billion a year earlier.
Passenger revenue was said to have risen 1.9 percent to $2.08 billion, ancillary revenue by 6.0 percent to $235.1 billion and cargo revenue surged by 34.8 percent to $158.5 million.
“Our nine-month results demonstrate the underlying resilience of Philippine Airlines in an operating environment marked by exceptionally high fuel costs and continuing geopolitical uncertainty,” PAL President Richard Nutall said in the press release.
“While the sharp increase in fuel prices has weighed significantly on profitability, demand for travel remains healthy and our revenue performance shows that our commercial strategy is gaining traction,” he added.
The company said total operating expenses grew by 15.9 percent to $2.57 billion, with fuel its biggest expense.
PAL raised fares and fuel surcharges and cut flights to manage the impact. It said that fuel costs would “remain the main factor affecting its results for the rest of the year.”
The number of passengers flown during the period fell by 6.0 percent to 11.6 million and the carrier’s load factor — a measure of how well seat capacity is filled — fell to 77.5 percent from 79.4 percent
PAL Holdings’ share price rose by 32 centavos, or 8.04 percent, to close at P4.30 on Wednesday, outpacing the Philippine Stock Exchange index’s 1.26-percent gain for the day.
