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ANNUAL REPORT 2005
Stock code: 00293

Table of contents

  • Page 1
    ANNUAL REPORT 2005 Stock code: 00293

  • Page 2
    ... Pacific Cathay Pacific Freighter Dragonair Air Hong Kong Contents 2 Financial and Operating Highlights 3 Chairman's Letter 4 2005 in Review 7 Review of Operations 16 Financial Review 22 Directors and Officers 24 Directors' Report 30 Corporate Governance 36 Corporate Responsibility 40 Auditors...

  • Page 3
    ...h H o n g Ko n g companies listed on the Hong Kong Stock Exchange, as is Cathay Pacific itself. Cathay Pacific is the major shareholder in AHK Air Hong Kong Limited, an all cargo carrier that offers scheduled services in the Asian region. Cathay Pacific is also a s h a r e h o l d e r i n H o n g Ko...

  • Page 4
    ...' funds per share Net debt/equity ratio OPERATING STATISTICS - CATHAY PACIFIC Available tonne kilometres ("ATK") Passengers carried Passenger load factor Passenger yield Cargo carried Cargo and mail load factor Cargo and mail yield Cost per ATK Cost per ATK without fuel Aircraft utilisation On-time...

  • Page 5
    ... related surcharges. Our efforts will stay focused on delivering superior service and value to our customers, profitably growing our operations, and strengthening Hong Kong's position as a global aviation hub. Christopher Pratt Chairman 8th March 2006 Cathay Pacific Airways Limited Annual Report...

  • Page 6
    ...Asia Pacific rated Cathay Pacific "Best Inflight Retailer in Asia/Pacific". • We were named Hong Kong's leading company in "The Asian Wall Street Journal 200" survey. • We opened a new lounge in Singapore and remodelled another in Frankfurt. Hub development • We launched a third daily service...

  • Page 7
    ... into service. • Our all-cargo subsidiary AHK Air Hong Kong Limited took delivery of its fifth and sixth A300-600 freighter aircraft in 2005 and will take delivery of its seventh and eighth in May and June 2006. Fleet profile Number as at 31st December 2005 Leased Aircraft type Owned Finance...

  • Page 8
    ... preferred seats. • Inflight purchases can now be pre-ordered online prior to a flight's departure. This helps us to guarantee the passenger's choice is available and to better manage our inventory. • Our new generation Company website, due for rollout in April, will be more customer friendly...

  • Page 9
    ... services and aircraft. A third daily service to Los Angeles added strength to North America, now our second largest sales area. Load factor by region % Passenger load factor and yield % HK cents 90 80 60 80 70 70 60 60 50 30 40 50 50 40 North Asia South West Pacific and South Africa...

  • Page 10
    New records were set for both passenger numbers and passenger revenue as capacity increased 11.8% over 2004. 8 Cathay Pacific Airways Limited Annual Report 2005

  • Page 11
    .... • All United States services enjoyed strong support from business passengers. • We now operate three daily non-stop services to Los Angeles. Cathay Pacific is the only airline to fly non-stop from Hong Kong to this United States gateway. Cathay Pacific Airways Limited Annual Report 2005 9

  • Page 12
    We took delivery of the world's first B747-400BCF. We are to convert five more aircraft and have options on a further six. 10 Cathay Pacific Airways Limited Annual Report 2005

  • Page 13
    Cathay Pacific Airways Limited Annual Report 2005 11

  • Page 14
    ... developing Hong Kong as a regional express cargo hub. • High fuel prices negatively affected the profitability of our freighter services. The adverse impact of high fuel prices was only partially offset by fuel surcharges passed on to customers. 12 Cathay Pacific Airways Limited Annual Report...

  • Page 15
    ... higher fuel prices. • The performance of other inflight catering kitchens in Asia and Canada are also encouraging. Hong Kong Airport Services Limited ("HAS") • HAS, in which Cathay Pacific holds a 70% interest, is the largest franchised ramp handling company at HKIA. • The company recorded...

  • Page 16
    ... controlled company with Rolls-Royce plc and SIA Engineering Pte Limited, experienced high work volumes and achieved good results. Hong Kong Dragon Airlines Limited ("Dragonair") • Dragonair, in which Cathay Pacific holds an 18% interest, operates passenger services to 30 destinations in Asia...

  • Page 17
    ... and cargo services are measured in available seat kilometres ("ASK") and available tonne kilometres ("ATK") respectively. Fleet profile as at 31st December 2005: Number as at 31st December 2005 Leased Aircraft type A320 A321 A330 B747-200F B747-300SF B747-400F Total 11 5 18 34 Owned Finance...

  • Page 18
    ...profit reï¬,ects the adverse effect of high fuel prices on our profitability. Turnover Group 2005 HK$M Passenger services Cargo services Catering, recoveries and other services Turnover 30,274 12,852 7,783 50,909 2004 HK$M 26,407 11,395 4,959 42,761 Cathay Pacific 2005 HK$M 30,274 11,585 6,529 48...

  • Page 19
    ... Hong Kong remained strong though slowed in the second half in the face of high fuel prices. • Cathay Pacific's cargo load factor decreased by 1.7 percentage points while capacity increased by 12.9%. Cargo yield decreased by 0.6% to HK$1.75. • The improvement in Cathay Pacific's traffic turnover...

  • Page 20
    ...: Group 2005 HK$M Staff Inflight service and passenger expenses Landing, parking and route expenses Fuel Aircraft maintenance Aircraft depreciation and operating leases Other depreciation and operating leases Commissions Exchange gain Others Net operating expenses Net finance charges Total net...

  • Page 21
    ...2Q07 Deferred profit on fuel hedging as at 31st December 2005 Volume hedged 0 Operating profit Net finance charges Interest cover • Staff costs increased due to an increase in average staff numbers and backdated salary payments to cabin crew. • Inflight service and passenger expenses rose due...

  • Page 22
    ... to HK$13,459 million. • Net borrowings decreased by 19.1% to HK$9,050 million. • Funds attributable to Cathay Pacific shareholders increased by 6.4% to HK$34,968 million. • Net debt/equity ratio decreased from 0.34 times to 0.26 times. 20 Cathay Pacific Airways Limited Annual Report 2005

  • Page 23
    ... value added in 2004 and 2005. 2005 HK$M Total revenue Less: Purchases of goods and services Value added by the Group Add: Share of profits of associates Total value added available for distribution Applied as follows: To employees - Salaries and other staff costs To governments - Corporation taxes...

  • Page 24
    ... Aviation Organisation and British Airways. He is also a Director of Hong Kong Aircraft Engineering Company Limited and Hong Kong Aero Engine Services Limited. TYLER, Antony Nigel #, aged 50, has been a Director of the Company since December 1996. He was appointed Director Corporate Development...

  • Page 25
    ... CITIC Pacific Limited in 1993. ZHANG, Xianlin, aged 52, has been a Director of the Company since August 1997 . He is a Director of China National Aviation Corporation (Group) Limited, China National Aviation Company Limited and Hong Kong Dragon Airlines Limited and a supervisor of Air China Limited...

  • Page 26
    ... Activities Cathay Pacific Airways Limited (the "Company") is managed and controlled in Hong Kong. As well as operating scheduled airline services, the Company and its subsidiaries (the "Group") are engaged in other related areas including airline catering, aircraft handling and aircraft engineering...

  • Page 27
    ...dated 17th October 2002 and 27th June 2005 were published and a circular dated 12th July 2005 was sent to shareholders. The fees payable by DHL to AHK under the DHL Services Agreement totalled HK$1,169 million for the year ended 31st December 2005. Cathay Pacific Airways Limited Annual Report 2005...

  • Page 28
    ... December 2005, the fees payable by the Company to JSSHK under the JSSHK Services Agreement totalled HK$101 million and expenses of HK$106 million were reimbursed at cost. (d) Pursuant to an agreement dated 31st May 2005 ("PCCW Services Agreement") between Cathay Pacific Loyalty Programmes Limited...

  • Page 29
    ... line maintenance, base maintenance, comprehensive stores and logistics support, component and avionics overhaul, material supply, engineering services and ancillary services at Hong Kong International Airport and/or Xiamen. Payment is made in cash by the Company to HAECO/ TAECO within 30 days...

  • Page 30
    ... December 2005, the register maintained under Section 352 of the Securities and Futures Ordinance ("SFO") showed that Directors held the following beneficial interests (all being personal interests) in the shares of Cathay Pacific Airways Limited: No. of shares Philip Chen Derek Cridland Tony Tyler...

  • Page 31
    ...by Smooth Tone Investments Ltd. Public ï¬,oat From information publicly available to the Company and within the knowledge of its Directors, at least 25% of the Company's total issued share capital are held by the public at all times. Auditors KPMG retire and, being eligible, offer themselves for re...

  • Page 32
    ... of the Company's business is delegated to the CE. Matters reserved for the Board are those affecting the Company's overall strategic policies, finances and shareholders. These include: financial statements, dividend policy, significant 30 Cathay Pacific Airways Limited Annual Report 2005

  • Page 33
    ... and Jack So, two executive officers, Nick Rhodes and Quince Chong, the General Manager Flying, Captain Andrew Maddox and the Head of Corporate Safety, Richard Howell. It is chaired by the immediate past Director Flight Operations, Ken Barley. Cathay Pacific Airways Limited Annual Report 2005 31

  • Page 34
    ... CE and comprises two executive Directors, Tony Tyler and Robert Atkinson, one non-executive Director, Martin Cubbon, one executive officer, Augustus Tang, the General Manager Corporate Finance, Keith Fung, and an independent representative from the financial community. Reports on its decisions and...

  • Page 35
    ... The Expenditure Control Committee meets monthly to evaluate and approve capital expenditure. It is chaired by one executive Director, Tony Tyler and comprises the Finance Director, Robert Atkinson and one executive officer, Augustus Tang. Cathay Pacific Airways Limited Annual Report 2005 33

  • Page 36
    ...the Head of Corporate Safety and comprises Directors and senior management of all operational departments as well as senior management from the ground handling company, Hong Kong Airport Services Limited, and the aircraft maintenance company, HAECO. 34 Cathay Pacific Airways Limited Annual Report...

  • Page 37
    ... from investors are dealt with in an informative and timely manner. All shareholders are encouraged to attend the Annual General Meeting to discuss matters relating to the Company. Any inquiries from shareholders can be addressed to the Corporate Communication Department whose contact details...

  • Page 38
    ... our shareholders, our staff, and stakeholders around the world. Safety is our highest priority. We aim to provide attentive, caring service to our customers inflight and on the ground. We strive to be a good corporate citizen and to manage our businesses in ways that benefit the wider community and...

  • Page 39
    ...to assess regulatory compliance, waste handling/storage, wastewater disposal, air emissions and water and energy efficiency. Our Swire group service providers are planning to produce their own corporate environmental reports on a regular basis. Cathay Pacific Airways Limited Annual Report 2005 37

  • Page 40
    ...health of customers and staff. We continually monitor air quality in our aircraft to ensure a safe, healthy and comfortable environment for passengers and crew. We undertake similar monitoring in our Hong Kong headquarters, Cathay Pacific City, and in our training facilities and airport lounges, and...

  • Page 41
    ... in the long-term development of Hong Kong's aviation industry. Our Cadet Pilot Programme has provided career opportunities with Cathay Pacific for more than 200 cadets since 1988, and around 30 potential pilots gain their wings each year. The planned expansion of our fleet over the next five...

  • Page 42
    Auditors' Report To the shareholders of Cathay Pacific Airways Limited (Incorporated in Hong Kong with limited liability) We have audited the accounts on pages 41 to 85 which have been prepared in accordance with accounting principles generally accepted in Hong Kong. Respective responsibilities of...

  • Page 43
    ... accordingly. In the Company's balance sheet investments in subsidiaries are stated at cost less any impairment loss recognised. The results of subsidiaries are accounted for by the Company on the basis of dividends received and receivable. Cathay Pacific Airways Limited Annual Report 2005 41

  • Page 44
    ...life expectancy of the assets. Any impairment in value is recognised by writing down the carrying amount to estimated recoverable amount which is the higher of the value in use (the present value of future cash flows) and the net selling price. 42 Cathay Pacific Airways Limited Annual Report 2005

  • Page 45
    ... while dividend income is recognised when the right to receive payment is established. 9. Financial liabilities Long-term loans, finance lease obligations and trade and other payables are stated at amortised cost. Where long-term liabilities have been defeased by the placement of security deposits...

  • Page 46
    ... obligation less the fair value of plan assets where the obligation is calculated by estimating the present value of the expected future payments required to settle the benefit that employees have earned using the projected unit credit method. 44 Cathay Pacific Airways Limited Annual Report 2005

  • Page 47
    ... when the services are rendered. Replacement spares and labour costs for maintenance and overhaul of aircraft are charged to the profit and loss account on consumption and as incurred respectively. 17. Frequent-ï¬,yer programme The Company operates a frequent-flyer programme called Asia Miles (the...

  • Page 48
    ... December 2005 Note Turnover Passenger services Cargo services Catering, recoveries and other services Total turnover Expenses Staff Inflight service and passenger expenses Landing, parking and route expenses Fuel Aircraft maintenance Aircraft depreciation and operating leases Other depreciation...

  • Page 49
    ... Related pledged security deposits Net current portion of long-term liabilities Trade and other payables Unearned transportation revenue Taxation Net current assets Net assets CAPITAL AND RESERVES Share capital Reserves Funds attributable to Cathay Pacific shareholders Minority interests Total...

  • Page 50
    ... functional currency. The US$ figures are shown only as supplementary information and are translated at HK$7.8. The notes on pages 54 to 85 form part of these accounts. Christopher Pratt Director Hong Kong, 8th March 2006 Henry Fan Director 48 Cathay Pacific Airways Limited Annual Report 2005

  • Page 51
    ...-term receivables and investments Net (increase)/decrease in liquid funds other than cash and cash equivalents Net cash outï¬,ow from investing activities Financing activities New financing Net cash benefit from financing arrangements Shares issued Loan and finance lease repayments Security deposits...

  • Page 52
    ...) - 78 (2,118) 34,968 - - - - - - 170 170 1,212 (165) 268 (265) (11) 1,039 3,468 4,507 - (1,520) - (21) - (676) (21) 78 (21) (2,139) 283 35,251 The notes on pages 54 to 85 form part of these accounts. 50 Cathay Pacific Airways Limited Annual Report 2005

  • Page 53
    ... (1,990) 32,855 99 99 - - (69) - (966) 68 383 139 15 (13) (374) 4,516 4,142 (1,515) (674) (69) 199 (69) (2,059) 134 32,989 The notes on pages 54 to 85 form part of these accounts. Cathay Pacific Airways Limited Annual Report 2005 51

  • Page 54
    ... (267) 1,219 2,371 3,590 (1,520) (676) 78 (2,118) 21,687 674 - 674 13,123 (106) 13,017 7,455 - 7,455 469 - 469 (1,421) - (1,421) 21 - 21 Total equity HK$M 20,321 (106) 20,215 The notes on pages 54 to 85 form part of these accounts. 52 Cathay Pacific Airways Limited Annual Report 2005

  • Page 55
    ...531 7 ,261 - 7 ,261 Investment revaluation reserve HK$M 349 - 349 Cash flow hedge reserve HK$M (813) - (813) Capital redemption reserve HK$M 21 - 21 Total equity HK$M 19,268 (250) 19,018 The notes on pages 54 to 85 form part of these accounts. Cathay Pacific Airways Limited Annual Report 2005 53

  • Page 56
    ... catering, recoveries and other services provided to third parties. Recoveries have been included in the 2004 comparatives. (a) Primary reporting by geographical segment 2005 HK$M Turnover by origin of sale: North Asia - Hong Kong and Mainland China - Japan, Korea and Taiwan South West Pacific...

  • Page 57
    ... Auditors' remuneration Income from unlisted investments Income from listed investments Share of associates' tax (11) 1,427 (156) 6 (119) (6) 50 (23) 1,224 (199) 6 (103) (3) 58 382 1,258 36 363 948 34 1,853 2,110 44 1,855 1,909 84 2004 HK$M Cathay Pacific Airways Limited Annual Report 2005...

  • Page 58
    ... 2005 HK$M Net interest charges comprise: - Obligations under finance leases - Interest income on related security deposits, notes and bonds - Bank loans and overdrafts - Other loans wholly repayable within five years - Other loans not wholly repayable within five years Income from liquid funds...

  • Page 59
    ... shares used in calculating basic earnings per share Deemed issue of ordinary shares for no consideration Weighted average number of ordinary shares used in calculating diluted earnings per share 3,377 9 3,386 2004 Million 3,362 17 3,379 Cathay Pacific Airways Limited Annual Report 2005 57

  • Page 60
    ...Aircraft and related equipment Owned HK$M Group Cost At 1st January 2005 Exchange differences Additions Disposals Transfers At 31st December 2005... (497) - 80,111 Leased HK$M Other equipment Owned HK$M Leased HK$M Buildings Owned HK$M Total HK$M 58 Cathay Pacific Airways Limited Annual Report 2005

  • Page 61
    ...) - 773 850 45 (108) - 787 547 - - - 547 547 - - - 547 399 - (2) - 397 408 - (9) - 399 68,211 3,739 (321) - 71,629 66,866 1,686 (341) - 68,211 Leased HK$M Other equipment Owned HK$M Leased HK$M Buildings Owned HK$M Total HK$M Cathay Pacific Airways Limited Annual Report 2005 59

  • Page 62
    ...(d) Security, including charges over the assets concerned and relevant insurance policies, is provided to the leasing companies or other parties that provide the underlying finance. Further information is provided under note 13 to the accounts. 60 Cathay Pacific Airways Limited Annual Report 2005

  • Page 63
    ... Company 2005 HK$M Unlisted shares at cost Net amounts due (to)/from subsidiaries - Loan accounts - Current accounts Other investments (4,327) 253 15,220 11,360 Principal subsidiaries are listed on page 84. (6,318) 530 18,682 13,108 214 2004 HK$M 214 Cathay Pacific Airways Limited Annual Report...

  • Page 64
    ...Sheet 11. Associates Group 2005 HK$M Hong Kong listed shares at cost (Market value: HK$2,716 million, 2004: HK$1,913 million) Unlisted shares at cost Share of net assets - listed in Hong Kong - unlisted Less: Impairment loss Loans to associates 975 755 1,730 - 1 1,731 Share of profits of associates...

  • Page 65
    ... 2005 HK$M 500 Company 2004 HK$M 395 Leasehold land is held under medium-term leases in Hong Kong with a total unamortised value of HK$1,513 million (2004: HK$1,549 million). 13. Long-term liabilities 2005 2004 Current HK$M Non-current HK$M Current HK$M Non-current HK$M Note Group Long-term loans...

  • Page 66
    ... which were defeased by funds and other investments totalling HK$19,873 million (2004: HK$23,234 million). Accordingly, these liabilities and the related funds, as well as related expenditure and income, have been netted off in the accounts. 64 Cathay Pacific Airways Limited Annual Report 2005

  • Page 67
    ... these finance leases are as follows: Group 2005 HK$M Within one year After one year but within two years After two years but within five years After five years Total future payments Interest charges relating to future periods Present value of future payments Security deposits, notes and zero coupon...

  • Page 68
    ... in Hong Kong, in which the Company and Cathay Pacific Catering Services (H.K.) Limited ("CPCS") are participating employers, provides resignation and retirement benefits to its members, which include the Company's cabin attendants who joined before September 1996 and other locally engaged employees...

  • Page 69
    ... employed in Hong Kong are eligible to join the CPA Provident Fund. Under the terms of these schemes, other than the Company contribution, staff may elect to contribute from 0% to 10% of the monthly salary. During the year, the benefits forfeited in accordance with the schemes' rules amounted to HK...

  • Page 70
    ... are expected to be made during the years 2007 to 2016 (2004: 2006 to 2014) as follows: 2005 HK$M After one year but within five years After five years but within ten years After ten years 3,444 1,770 269 5,483 2004 HK$M 4,548 2,104 - 6,652 68 Cathay Pacific Airways Limited Annual Report 2005

  • Page 71
    ... deposits and debt securities must be maintained at specified levels for the duration of the financing. Other than Hong Kong dollars, liquid funds were mainly denominated in US dollars and Renminbi of HK$8,993 million and HK$1,178 million respectively. Cathay Pacific Airways Limited Annual Report...

  • Page 72
    ...HK$66 million. Group 2005 HK$M Analysis of trade creditors by age: Current One to three months overdue More than three months overdue 2,421 463 135 3,019 1,956 396 95 2,447 2,226 449 127 2,802 1,779 382 91 2,252 2004 HK$M 2005 HK$M Company 2004 HK$M 70 Cathay Pacific Airways Limited Annual Report...

  • Page 73
    ... share price immediately before the exercise date (HK$) 7/1/05 - 25/11/05 77,814,990 14.46 6/1/04 - 31/12/04 199,451,241 15.07 2004 26,494,500 (10,417,000) 16,077,500 16,077,500 53,194,800 (26,700,300) 26,494,500 26,494,500 2004 Number of shares Cathay Pacific Airways Limited Annual Report 2005...

  • Page 74
    ... 2006 2007 2008 2009 2010 63 66 (43) (59) 3 30 The actual amount ultimately recognised in operating profit will depend upon the fair values of the hedging instruments at the time that the hedged transactions affect the profit and loss account. 72 Cathay Pacific Airways Limited Annual Report 2005

  • Page 75
    ...) 514 242 663 8,706 2004 HK$M 5,247 3,764 84 29 - 437 (126) (557) 115 1,488 783 (669) 10,595 22. Analysis of cash and cash equivalents 2005 HK$M Short-term deposits and bank balances Bank overdrafts 4,321 (54) 4,267 2004 HK$M 2,687 (30) 2,657 Cathay Pacific Airways Limited Annual Report 2005 73

  • Page 76
    ... HK$'000 2004 Housing 2005 benefits Total Total HK$'000 HK$'000 HK$'000 For Directors employed by the Swire group, the remuneration disclosed represents the amount charged to the Company. Bonus is related to services for 2004 but paid and charged to the Company in 2005. Allowances and benefits...

  • Page 77
    ... 487 183 156 134 40 4 1 8,785 Other staff 7,189 175 78 18 7 7 4 3 1 1 1 - - - - 7,484 Director 11 - 1 - - - - 1 - - 1 1 - 1 1 17 2004 Flight staff 6,719 388 398 130 173 133 36 4 3 7,984 Other staff 7,124 185 59 19 9 9 4 3 1 2 - - - - - 7,415 Cathay Pacific Airways Limited Annual Report 2005 75

  • Page 78
    ... carried out in the normal course of business on commercial terms are summarised below: 2005 Associates HK$M Turnover Aircraft maintenance costs Route operating costs Dividends received Fixed assets purchase (b) Other transactions with related parties (i) The Company had an agreement for services...

  • Page 79
    ... by the Company in respect of bank loan facilities held by an associate at 31st December 2005 are disclosed in note 26 to the accounts. (e) There were no material transactions with Directors and Executive Officers except for those relating to shareholdings (Directors' Report and Corporate Governance...

  • Page 80
    ... the Group is exposed to fluctuations in foreign exchange rates, interest rates and jet fuel prices. These exposures are managed, sometimes with the use of derivative financial instruments, by the Treasury Department of Cathay Pacific in accordance with the policies approved by the Finance Committee...

  • Page 81
    ...ve years HK$M - - - - 7,347 - (398) (385) - - - Fixed/ Floating Group Bank loans Other loans Other loans Obligations under finance leases Obligations under finance leases Pledged security deposits Pledged security deposits Currency swap Interest rate swap Liquid funds Liquid funds Bank overdrafts...

  • Page 82
    ... Floating Company Bank loans Other loans Obligations under finance leases Obligations under finance leases Pledged security deposits Interest rate swap Liquid funds Bank overdrafts Floating Floating Floating Fixed Fixed Floating Floating Effective interest rate (%) 0.71 - 5.07 2.71 - 2.73 Total HK...

  • Page 83
    ... in the balance sheet: Carrying amount 2005 HK$M Group Bank loans Other loans Obligations under finance leases Pledged security deposits 4,839 1,424 26,331 (10,139) Carrying amount 2005 HK$M Company Bank loans Other loans Obligations under finance leases Pledged security deposits 3,678 1,358 25,274...

  • Page 84
    ... as follows: 2005 HKFRS3 HK$M Turnover Passenger services Cargo services Catering, recoveries and other services Total turnover Expenses Staff Inflight service and passenger expenses Landing, parking and route expenses Fuel Aircraft maintenance Aircraft depreciation and operating leases Other...

  • Page 85
    ... as they occur, outside the profit or loss in a statement of recognised income and expense. The Group is in the process of making an assessment on the impact of this additional option on both the results and the financial position of the Group. Cathay Pacific Airways Limited Annual Report 2005 83

  • Page 86
    ...% due 2010 100 shares of HK$10 Hong Kong 60* Airline Property Limited Airline Stores Property Limited Airline Training Property Limited Cathay Holidays Limited Cathay Pacific Aero Limited Cathay Pacific Aircraft Acquisition Limited Cathay Pacific Aircraft Services Limited Cathay Pacific Catering...

  • Page 87
    ... and operation Cathay Kansai Terminal Services Company Limited Cebu Pacific Catering Services Inc. Ground Support Engineering Limited Japan Philippines Hong Kong Principal activities Ground handling Airline catering Airport ground engineering support and equipment maintenance Aircraft overhaul and...

  • Page 88
    Statistics 2005 Consolidated profit and loss summary Passenger services Cargo services Catering and other services Turnover net of recoveries Net operating expenses Operating profit/(loss) Net finance charges Profit on sale of investments Share of profits of associates Profit/(loss) before tax ...

  • Page 89
    ... 119.7 53.0 4.4 4.1 0.8 3.6 0.85 0.36 12.0 12.6 2.7 6.4 0.71 0.30 2.2 2.0 1.1 1.5 0.77 0.46 14.5 16.4 2.3 14.4 0.63 0.30 7.6 8.0 2.1 3.1 0.88 0.47 (2.1) (2.1) (1.6) (2.2) 1.04 0.57 5.5 6.3 1.7 6.1 0.85 0.32 12.1 17.8 2.1 9.8 0.99 0.22 Cathay Pacific Airways Limited Annual Report 2005 87

  • Page 90
    ... Block hours Aircraft departures Available tonne kilometres Revenue tonne kilometres Available seat kilometres Revenue passengers carried Revenue passenger kilometres Revenue load factor Passenger load factor Cargo carried Cargo and mail tonne kilometres Cargo and mail load factor Excess baggage...

  • Page 91
    ... - 14 - - 19 4 3 5 7 - 64 8 3 75 12 - 14 - - 19 4 2 4 7 - 62 12 3 77 12 - 11 - 6 19 4 2 4 4 - 62 7 3 72 11 - 6 - 13 19 4 2 4 - - 59 - 3 62 10 2 5 - 13 19 4 2 4 - - 59 - 3 62 Cathay Pacific Airways Limited Annual Report 2005 89

  • Page 92
    ...1999 2000 2001 2002 2003 2004 2005 4 2 0 2005 Productivity Cost per ATK ATK per HK$'000 staff cost Aircraft utilisation Share prices High Low Year-end Price ratios (Note) Price/Earnings Market capitalisation/ Funds attributable to Cathay Pacific shareholders Price/Cash flow 2004 2003 2002 2001...

  • Page 93
    ... profit/(loss) Net finance charges Borrowings Funds attributable to Cathay Pacific shareholders Breakeven load factor = Dividend cover = Passenger/Cargo and mail yield = Interest cover = Gross debt/ equity ratio = Cost per ATK = Cathay Pacific Airways Limited Annual Report 2005 91

  • Page 94
    ... in Hong Kong with limited liability. Investor relations For further information about Cathay Pacific Airways Limited, please contact: Corporate Communication Department Cathay Pacific Airways Limited 7th Floor, North Tower Cathay Pacific City Hong Kong International Airport Hong Kong Tel...

  • Page 95
    DESIGN: FORMAT LIMITED www.format.com.hk Printed in Hong Kong This report is printed on paper that is acid-free and elemental chlorine-free (ECF)

  • Page 96
    www.cathaypacific.com