Cathay Struggles to Get Top Dollar From Fliers Amid Revamp
- Carrier reports HK$2.05 billion loss for first half of 2017
- Passenger yields dwindle, led by North America and Europe
Will Horton, senior analyst at Capa-Centre for Aviation, talks about Cathay Pacific Airways' business outlook. He speaks with Bloomberg's Rishaad Salamat and Haidi Lun on 'Bloomberg Markets: Asia.' (Source: Bloomberg)
Cathay Pacific Airways Ltd. is slipping in its efforts to get passengers to pay more for its premium services in a test for new Chief Executive Officer Rupert Hogg as the company reported back-to-back losses.
Passenger yields continued to decline in the first half of the year, led by its services to North America and Europe, as discounts to help fill seats took a toll on the key metric of profitability. The measure -- the money earned from carrying a passenger for one kilometer -- declined 5.2 percent to 51.5 Hong Kong cents, hovering around the lowest level since 2009, Cathay said in a statement Wednesday.