China Airlines Ltd. · TWSE:2610
China Airlines — Q1 2025 Earnings Presentation
32 slides from China Airlines's earnings presentation, Jun 5, 2025
Slide 1: China Airlines 2025 2nd Investor Conference
China Airlines 2025 2nd Investor Conference Jun. 05’ 25
Slide 2: Safe Harbor Notice
Safe Harbor Notice • The information disclosed in this presentation and its accompanying announcements, including content relating to business outlooks, financial operations, and business forecasts, is based on information derived from internal corporate data and external economic developments as a
Slide 3: Agenda
Agenda • 2025Q1 Operating Outcomes • Market Outlook • Fleet Development • PAX & CGO Market, Performance & Strategies • Sustainability Actions and Achievements 3
Slide 4: 2025Q1 Operating Outcomes
& CHINA AIRLINES :¥) 2025Q!I Operating Outcomes
Slide 5: 2025Q1 Financial Performance
2025Q1 Financial Performance (TWD 100 Million) 2025Q1 2024Q1 Diff. YoY Operating revenue 527.7 486.5 41.2 8.5% Passenger revenue 326.9 330.1 -3.2 -1.0% Cargo revenue 156.9 123.1 33.8 27.5% Other operating revenue 43.9 33.3 10.6 31.8% Net Operating Income 56.5 38.5 18.0 46.8% Net Income After Tax 46.
Slide 6: Group Financial Ratio
Group Financial Ratio CAL Financial Ratios trend 120% 109% 110% Under continuous profit, financial condition and ratios 95% are gradually optimized. 79% 77% 68% 25Q1 v.s 19Q4 70% 73% 72% 71% Current ratio +42ppt Current Ratio Debt Ratio Debt ratio -8ppt 45% 2019/12 2023/12 2024/12 2025/03 Based on c
Slide 7: The Growth Operating Revenue
The Growth Operating Revenue In 2025Q1, operating revenue increased by 8% YoY and also up 19% compared with the same period in 2023. Q1 Revenue Before & After Pandemic TWD100 million +8% EUR +22% 450 +4% TPA PRC +1% 416 Regional 380 (SEA/NEA) 351 2019 2023 2024 2025 Based on individual financial rep
Slide 8: Operating Cost Breakdown and Comparison
Operating Cost Breakdown and Comparison Fuel (Percentage decreasing due cost remain approx. the same) 31% 33% Labor Rental & Depr. 17% 17% Maint. (Pct. Increasing due the extension of fleet leases) 14% 14% Airport 15% 14% Passenger Svc. (Pct. increasing due meal and product quality enhancement) 11%
Slide 9: Fuel Cost Analysis
Fuel Cost Analysis The average fuel price in 2025Q1 2024Q1 YoY 2025Q1 decreased by 10.9% Jet fuel (SIN JET) YoY. The number of jet fuel USD/BBL 90.9 102.1 -10.9% barrels increased by 2.6% YoY, Fuel and the net fuel hedging Consumption 387.5 377.7 2.6% 10K/BBL expenditure was NT$ 2 million. Hedging c
Slide 10: Crude Oil and Jet Fuel Price Trends
Crude Oil and Jet Fuel Price Trends USD/BBL Sin Jet and Brent Price 180 Crack In April 2025, crude oil 150 Brent prices plummeted to the Jet Fuel 120 lowest level in four years 78.7 due to the impact of 90 119.8 macroeconomic conditions. 60 The jet fuel crack spread 65.4 74.0 20 May (Crack) currentl
Slide 11: Market Outlook
& CHINA AIRLINES :¥) Market Outlook
Slide 12: 2025-2026 Global Economic Outlook
2025-2026 Global Economic Outlook • Due to uncertainties caused by trade tariffs, IMF downgraded economic growth forecast for the USA in April, marking the largest revision among advanced economies. • Tariffs have also impacted the global economy, leading to a significant slowdown, prompting the IMF
Slide 13: Global / Taoyuan Airport (TPE) Passenger Market Outlook
Global / Taoyuan Airport (TPE) Passenger Market Outlook • Global air travel growth slows: Q1 2025 sees single-digit increases in traffic (7.7%) and capacity (6.8%), far below 21% in Q1 2024; slight 0.7-point rise in load factor signals persistent supply chain constraints. • In Q1 2025, Taoyuan Airpo
Slide 14: Asia-Pacific Market Outlook and the Ongoing Growth of ASEAN
Asia-Pacific Market Outlook and the Ongoing Growth of ASEAN • In Q1 2025, the Asia-Pacific international passenger market maintained over 10% growth in both traffic and capacity, remaining one of the key drivers of global air travel growth. • IATA notes that from 2014 to 2024, ASEAN air travel growt
Slide 15: Global / Taoyuan Airport (TPE) Cargo Market Outlook
Global / Taoyuan Airport (TPE) Cargo Market Outlook • In 2025, global air cargo growth slowed, with February volumes rising just 0.4% year-on-year after the traditional peak season. However, a surge in last-minute shipments ahead of new U.S. tariffs boosted March growth to 5.5%. As a result, Q1 capa
Slide 16: Potential Impact of USA Tariff Policy on the Aviation Industry
Potential Impact of USA Tariff Policy on the Aviation Industry The tariff impacts multiple aspects, including passenger transport, cargo operations, finance, fleet, and maintenance etc. CAL will closely monitor future developments and take appropriate responsive measures as needed. Passenger： Cargo：
Slide 17: Fleet Development
& CHINA AIRLINES :¥) Fleet Development
Slide 18: Operating Fleet Plan
Operating Fleet Plan • To address post-pandemic supply shortages, short- to mid-term capacity is maintained through additional and extended leases. • Capacity will be further boosted with the upcoming addition of 55 passenger jets and 4 freighters。 Aircraft Type End of May Remark Aircraft Type On Or
Slide 19: Passenger & Cargo Market, Performance & Strategies
Passenger & Cargo Market, Performance & Strategies
Slide 20: 2025Q1 Passenger Operational Results
2025Q1 Passenger Operational Results 25’Q1 vs 25Q1’ vs HKG, 2% 2025Q1 OCE, 7% 24’Q1 19’Q1 Passenger TPA, 22% revenue 272 -2% 16% (TWD 100 million) Revenue passenger 290 -1% -22% 2025Q1 Passenger (10 Thousand) NEA, 32% Revenue Sources EUR, 11% Available Seat Kilometer 117 -1% -7% by Region (100 milli
Slide 21: 2025Q1 Passenger Revenue and Load Factor
2025Q1 Passenger Revenue and Load Factor 2024 Pax Rev 2025 Pax Rev 2024 L/F 2025 L/F NT $billion 1.0 150 Yield 82.3% 82.3% 81.3% 81.9% 81.5% 81.6% 140 79.5% 77.5% 78.1% 0.8 75.5% 75.6% 72.6% 130 76.8% 78.4% 78.1% 120 0.6 106 110 96 98 100 92 95 93 0.4 90 91 89 85 85 90 83 83 82 78 0.2 80 70 0.0 60 J
Slide 22: Continuously Growing Online Sales
Continuously Growing Online Sales Major & robust sales channeling: CI website (OLS). Achieve almost 40% to FIT during 2025 JAN-MAR. Global student fare and Marathon promotion on website to increase ticket sales volume. 22
Slide 23: Deploy Network with Market Demand
Deploy Network with Market Demand • Year 2025 • 2025.02 Resuming KHH-KMJ. Meet leisure & business travel demand • 2025.03 Adding TPE-TAK flights. Daily flight to Shikoku/ Japan. • 2025.04 launching KHH-FUK， Market leader in Kyushu/ Japan. • 2025.05 Resuming TPE-ISG、 More flights of KHH-OKA、KHH-NRT W
Slide 24: Passenger Operation Strategy
Passenger Operation Strategy Steady Development Continuous Innovation • Build-up hub & spoke network: the • CRM: Digital technology to connect advantage of geographic location. customer with care. • Expanding Network: Partner with • Upgrade DFP program to enhance the Alliance and codeshare airlines.
Slide 25: 2025Q1 Cargo Operational Results
2025Q1 Cargo Operational Results 25’Q1 vs 25Q1’ vs 2025Q1 24’Q1 19’Q1 EUR, 10% Cargo revenue (TWD 100 million) 156 27.6% 55.2% TPA, 66% Revenue Freight SEA, 11% Ton Kilometer 1,302 6.1% 8.8% 2025Q1 CGO (million) Revenue Available Freight Sources 1,999 10.0% 9.5% PRC, 5% Ton Kilometer by Region (mill
Slide 26: 2025Q1 Cargo Revenue and Yield
2025Q1Cargo Revenue and Yield Due to the stable demand of e-commerce, AI servers, and electronic products, as well as the urgent shipping needs driven by US tariff concerns, the YoY cargo yield increase of 20.3%. 2024 Cgo Rev 2025 Cgo Rev 2024 Yield 2025 Yield Yield 14 NT 80 12.24 12.18 11.91 11.85
Slide 27: Cargo Operation Strategy
Cargo Operation Strategy Reorganize freighter network, and maintain operational flexibility in response to market trends. After the last 777F is delivered in 2025Q2, flexibly deploy 10 777Fs and 8 744Fs, leveraging high cargo capacity and fuel efficiency to enhance operational performance. In re
Slide 28: Sustainability Actions and Achievements
Sustainability Actions and Achievements
Slide 29: Sustainability Efforts – (1/2)
Sustainability Efforts – ( 1/2 ) Taiwan’s First Transportation Service Participating T.A.C. for 3 Supporting Ecological Conservation Provider Certified by SBTi Consecutive Years by Adopting a Pangolin at Taipei Zoo Collaborating with Corporate Expanding Forest Adoption Efforts Continuously Conductin
Slide 30: Sustainability Efforts – (2/2)
Sustainability Efforts – (2/2) In Collaboration with Soaring with the Wind, Chunghwa Telecom Laboratories Expanding Wings Worldwide Pioneering New Frontiers Continuously Cultivating in AI Applications Skilled Aviation Professionals for the Aviation Industry Partnering with Charities to Lighting Up t
Slide 31: Continuously Achieving Excellence in ESG
Continuously Achieving Excellence Sustainability Report : Gold Class 8 th Selected for S&P Sustainability YearBook 6 t h Consecutive years selected for Global Corporate Sustainability 2019-2024 2016-2025 Award 3rd time Best Sustainability Report 9 th Consecutive years selected for 11 t h Consecutive
Slide 32: Thank you
& CHINA AIRLINES :¥) Thank you