Cathay Pacific 2006 Annual Report Download - page 61

Download and view the complete annual report

Please find page 61 of the 2006 Cathay Pacific annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 100

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100

59
Cathay Pacific Airways Limited Annual Report 2006
Notes to the Accounts
1. Turnover (continued)
(b) Secondary reporting by business segment
2006
HK$M
2005
HK$M
Revenue – external sales
– Passenger services 35,155 30,274
– Cargo services 14,251 12,852
49,406 43,126
Unallocated revenue
– Catering, recoveries and other services 11,377 7,783
60,783 50,909
The Group is engaged in two main business segments: in passenger business and in freight traffic through
the Company and two subsidiaries. Catering services, recoveries and other airline supporting services which
supplement the Group’s main operating business are included in unallocated revenue.
Analysis of net assets by business segment:
The major revenue earning asset is the aircraft fleet which is jointly used by the passenger services and cargo
services segments. Management considers it is not appropriate to allocate such assets between the two
segments as there is no suitable basis for so doing. Accordingly, analysis of net assets by business segment is
not disclosed.
2. Operating profit
2006
HK$M
2005
HK$M
Operating profit has been arrived at after charging/(crediting):
Depreciation of fixed assets
– Leased 1,766 1,853
– Owned 2,489 2,110
Amortisation of intangible assets 40 44
Operating lease rentals
– Land and buildings 434 382
– Aircraft and related equipment 1,379 1,258
– Others 37 36
Operating lease income
– Aircraft and related equipment (123) (11)
Cost of stock expensed 1,552 1,427
Exchange differences (272) (156)
Auditors’ remuneration 86
Income from unlisted investments (166) (119)
Income from listed investments (25) (6)
Profit and Loss Account