Jet fuel rises 69%, weighing on Cebu Pacific’s 2026 results
Key Facts
A reliable open source could not verify JG Summit’s nine-month earnings figure, so a decline or its attribution to Cebu Pacific’s results cannot be confirmed. The available disclosure from the group covers the period ended June 30, 2026, when revenue was 200.002 billion pesos. Net income attributable to the parent company’s shareholders was 10.672 billion pesos for that period. These figures cover the first half and do not represent nine-month results. The subsidiary’s disclosures show the pressures Cebu Pacific faced during 2026, but do not by themselves establish their impact on the consolidated group’s results.
Cebu Pacific management said the average jet fuel price was $145 per barrel since the start of the year, up 69% year on year. It added that fuel expenses exceeded 39 billion pesos in the first nine months. The average peso exchange rate was 60.6 to the dollar over the same period, down 6% from a year earlier, according to the company’s earnings call. The company also recorded foreign currency translation losses of 5 billion pesos. The figures place higher fuel costs and the weaker peso among the pressures cited by management in its financial presentation.
Chief Executive Mike Szucs said jet fuel prices topped $200 per barrel at their peak in the second quarter, coinciding with the peak summer and Easter seasons. He added that the sharp, sudden increase coincided with a period of strong seasonal demand and contributed to significant losses. In the third quarter, the company’s share of the domestic market rose to 63%, compared with 55% in the same quarter a year earlier, according to management. The company said competitors cut capacity as its market share expanded. Despite this improvement in market share, management expected a loss for full-year 2026, with a financial recovery potentially beginning in 2027 if economic pressures gradually ease.
Management forecast annual growth of between 18% and 20% in passenger revenue per available seat kilometer in the fourth quarter of 2026 and the first quarter of 2027. The forecast reflects an expected commercial improvement in both periods, but accompanies the company’s estimate that it will end 2026 with a loss. These forecasts are attributed to the company’s chief financial officer and are not realized results. In the latest official group data available, JG Summit reported revenue of 200.002 billion pesos and net income attributable to the parent company’s shareholders of 10.672 billion pesos through June 30, 2026. Those figures do not include the group’s nine-month results or establish the extent of Cebu Pacific’s performance impact on them.