Cathay Pacific Airways on Wednesday announced a reduced profit attributable to shareholders of 3,298 million HK dollars (422.8 million U.S. dollars) in its 2005 Annual Results, around 25.3 percent lower than that of the previous year as high fuel prices continued to weigh heavy on the airline.

Group turnover increased 19.1 percent to a record 50,909 million HK dollars (6,527 million U.S. dollars). Fuel costs for the year increased 67.2 percent to 15,588 million HK dollars (1, 999 million U.S. dollars). Passenger and cargo fuel surcharges only partially offset this additional cost.

Passenger revenue increased 14.6 percent to a record 30,274 million HK dollars (3,881 million U.S. dollars). The airline carried 15.4 million passengers in 2005, up from 13.7 million the previous year.

Cathay Pacific carried a record 1,118,047 tons of freight and set a cargo revenue record of 11,585 million HK dollars (1,485 million U.S. dollars). New freighter services commenced to Shanghai, Dallas and Atlanta.

However, both cargo yield and load factor decreased to 1.75 HK dollars and 67.0 percent respectively with increased competition and a slowdown in the growth of exports from Southern China.

Cathay Pacific's continued confidence in Hong Kong's future as an aviation center was underlined by its biggest ever order for new aircraft. The airline made commitments for 16 Boeing 777-300ER long-range aircraft and three Airbus 330-300s, which will be delivered between 2007 and 2010, and has purchase rights for a further 20 B777-300ERs.

"Demand was strong in 2005 and we remain optimistic about our future even though our 2006 results are likely to remain heavily dependent on fuel prices," Cathay Pacific Chairman Christopher Pratt said.

Source: Xinhua