November 12, 2025 | 12:00am
MANILA, Philippines — Flag carrier Philippine Airlines (PAL) has solidified its growth story by booking P9 billion in net income as of September, propelled by industry-leading punctuality and expansion of its frequent flyer program.
Based on its financial report, PAL’s parent PAL Holdings Inc. said its profit grew by more than a third to P9.03 billion in the nine months to September, from P6.76 billion a year ago.
Although expenses went up by four percent to P124.85 billion, PAL mitigated this by increasing its revenue by three percent to P136.01 billion.
PAL’s passenger revenues rose by one percent to P116.56 billion, driven by flight redemptions in August when the airline offered exclusive promos for Mabuhay Miles members. Mabuhay Miles’ active membership has expanded by 15 percent as of September.
Likewise, PAL’s cargo revenues jumped by four percent to P6.71 billion to support the growth in passenger income. Also, the airline booked a 24-percent increase in ancillary revenues to P12.67 billion, buoyed by baggage fees and seat upgrades.
PAL is also delivering a masterclass in bringing passengers to their destinations on time, leading all carriers in Asia-Pacific on punctuality, according to aviation analyst Cirium.
PAL is rated the most on-time carrier in the region by Cirium for three consecutive months now – from August to October – outperforming even some of the finest airlines in the world.
In October, PAL landed the top spot again for punctuality by turning in an on-time score of 86.37 percent, beating Japan Airlines’ 81.1 percent, ANA’s 80.19 percent and IndiGo’s 80.19 percent.
The airline owned by tycoon Lucio Tan has spent $308 million for capital expenditures as of September. It is undertaking a fleet modernization program to improve its aircraft and services, acknowledging the tightening competition in the aviation industry.
PAL is refurbishing its Airbus A321ceos to equip all cabins with in-flight entertainment. It plans to deploy these jets to high-traffic destinations like Tokyo, Osaka, Jakarta, Bali and Guam before the end of the year.
Further, PAL is scheduled to receive the first of nine A350-1000s either by December or January, enhancing its fleet of widebody aircraft for long-range flights.
PAL president Richard Nuttall said these efforts are meant to keep PAL ahead of the game, as it works on delivering the best value for passengers and stakeholders.