10 hours ago
- Business
- South China Morning Post
Cathay budget carrier HK Express upbeat on growth despite Japan flight cuts
Cathay Pacific Airways' budget carrier,
HK Express , expects passenger numbers to grow by up to 40 per cent this year despite feeling 'some impact' from cuts to summer flights to Japan as a result of Hongkongers avoiding the country over earthquake rumours, its boss has said.
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HK Express CEO Jeanette Mao Jie-qiong said on Wednesday that flight adjustments to Japanese destinations coupled with the grounding of five aircraft this year because of engine problems had posed some challenges.
Mao said the carrier had also suffered declining passenger yield, which gauges the average revenue generated per passenger and kilometre, as air fares were dropping following a normalisation process.
'There will be some minor adjustments to Tokyo and Osaka in July and August as people have been affected by rumours of a possible earthquake there during summer,' she said.
'Some flights to these two destinations will be combined so there will be an overall reduction.
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'There will be some impact on our bookings and flight performance. Coupled with the grounding of five aircraft due to their Pratt & Whitney-made engine problems, these issues will affect our performance this year.
'But we believe this impact is only short term as we're full of confidence in the future prospects of the Japan market … After all, the country is a second home for Hongkongers.'
