Cathay Pacific Returns to Profit on Fuel-Hedging Gain

[cxhk]

Lets average some ticket prices and seats for a flight in 1 month off their site, Actual figures...

EY = $580 C = $2084 and F = $4084 ALL in $ SGD

Their seating config is 399 EY, 60 C class and 12 F Class

399 x $580 = $231,420
60 x $2084 = $125,040
12 x $4084 = $49,008

Total = 405,468.00 SGD = $2,175,643.41 HKD

Now divide that by 2 = $1,087,821.2 HKD per sector which is over $140,000 USD per sector.

Are you suggesting they are losing or making NO money? Even if the flight went 70% full they are still taking $98,000 USD per sector. Are SQ's overall operating costs per sector higher than that?

By the way these are prices quoted off their website

Some may argue that travel agents get discounts and that not all tickets are sold at the internet prices. Fair argument but even if a full flight after discounts generated 70% of the revenue the website would generate you're still looking at approx $100,000 USD per sector.

I think you figures are very inflated. First you never sell 60J and 12F for HKG - SIN... usually you end up getting loads like 450EY and maybe 20J and 1F. Plus your price of SGD580 for EY ticket are quite high. I just check on some Hong Kong travel agent site, you can get HKG-SIN return on CX or SQ plus 3 nights of 5 star hotel for HKD2500. So I wonder how much CX actually pocket, maybe HKD600 to 700 each leg? So I think the actual revenue receive maybe less than half of what you have calculated.