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Cebu Pacific's long-haul operation. Turn around needed after a challenging 2014. Part 1 The M-East

Analysis

Cebu Pacific Air is planning further expansion of its long-haul network in 2015 but, at least for now, has shelved plans for growing its widebody fleet beyond six aircraft. The Philippine LCC is wisely waiting to see how its long-haul operation, which had a load factor of only 53% in 4Q2014, matures before committing to more A330s or new-generation widebody aircraft.

Cebu Pacific took delivery of its sixth A330-300 in Mar-2015. The airline is currently using its widebody fleet to operate only four long-haul routes - Dubai, Kuwait, Riyadh and Sydney - but the type is also currently being used on three short-haul routes.

Manila-Doha is being launched as Cebu's fifth long-haul route - and fourth to the Middle East - in Jun-2015. Cebu Pacific is also seeking additional traffic rights to the UAE which would be used to launch services to Sharjah. While the Middle East remains the main focus of Cebu's long-haul unit, the LCC also aims to begin serving Honolulu by the end of 2015 and is keen to secure more Australia rights to enable the launch of services to Melbourne.

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