China Airlines Ltd. · TWSE:2610
China Airlines — Q3 2025 Earnings Presentation
42 slides from China Airlines's earnings presentation, Nov 12, 2025
Slide 1: China Airlines 2025 4th Investor Conference
China Airlines 2025 4th Investor Conference Nov.12’ 25 1
Slide 2: Disclaimer
Disclaimer • 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 whole. T
Slide 3: Agenda
Agenda 2025Q1-Q3 Results Highlights Passenger Strategy and Outlook Cargo Strategy and Outlook Aircraft Maintenance Development 3
Slide 4: 2025Q1-Q3 Results Highlights
2025Q1-Q3 Results Highlights 4
Slide 5: 2025 Q1-Q3 Financial Performance
2025 Q1-Q3 Financial Performance Revenue reached NT$155 billion(YoY +2.7%), operating net profit NT$ 15.8 billion(+18.1%), and EPS of NT$1.81 (+5.8%), continuing strong growth for Q1-Q3 2025. (TWD 100 Million) 2025 Q1-Q3 2024Q1-Q3 Diff. YoY Operating revenue 1,549.8 1,509.3 40.5 2.7% Passenger reven
Slide 6: The Growth Operating Revenue
The Growth Operating Revenue Operating revenue increased by 3% to 132.6 billion, and 10% increase from 2023. Passenger and cargo revenue in North America increased the most, by 7%, while China and European routes also growth. Q1-Q3 Revenue for 2019-2025 NTD100 million +1% 1,326 Euro +2% PRC +7% 1,29
Slide 7: Passenger and cargo as dual growth drivers, enhancing revenue structure
Passenger and cargo as dual growth drivers, enhancing revenue structure With rising premium cabin revenue in passenger services and increased freight rates boosting cargo income, the dual passenger-cargo strategy continues to optimize overall operating revenue. The growing premium cabin revenue and
Slide 8: Cost Breakdown and Comparison
Cost Breakdown and Comparison Fuel The composition of operating 30% 32% Labor costs in the first three quarters Rental & Depr. was similar to last year. Fuel 17% 17% Maint. cost share decreased due to 14% 14% Airport lower jet fuel price, while 15% Passenger 14% extended aircraft leases led Svc. 11%
Slide 9: Capacity growth continues to drive lower per-unit cost
Capacity growth continues to drive lower per-unit cost In the first three quarters of 2025, overall capacity increased by 8% compared to last year, leading to an 7% decrease in unit costs, and the benefits of economies of scale are gradually becoming apparent. ATK Cost Per ATK 9,493 13.32 +8% -7% 12
Slide 10: Fuel Cost Analysis
Fuel Cost Analysis 2025Q1-Q3 2024Q1-Q3 YoY In the first three quarters Brent 70.5 82.3 -14.3% of 2025, average fuel (USD/BBL) prices declined by 11.8%, Jet fuel (MOPS) (USD/BBL) 85.9 97.4 -11.8% while fuel consumption Fuel rose by 5.2%. Consumption 1,207 1,147 5.2% The decline in fuel prices (10K/BB
Slide 11: 2026 Brent crude oil Market Outlook
2026 Brent crude oil Market Outlook USD/BBL EIA Bloomberg Non-OPEC crude production 70 has exceeded expectations, while OPEC+ is gradually 65 63 easing output cuts. Rising 62 62 60 61 inventories continue to pressure oil prices. According 55 to EIA and Bloomberg 53 52 52 52 forecasts, Brent crude is
Slide 12: Group Financial Ratio
Group Financial Ratio CAL Financial Ratios trend 85% 15.50 16.00 Debt Ratio 14.16 Stable growth and improving financial health 12.80 79% 75% 12.00 10.44 25Q3 v.s 19Q4 73% 72% Book Value per share +5.06 71% Book Value Per Share Debt ratio -8ppt 65% 8.00 2019/12 2023/12 2024/12 2025/09 Based on consol
Slide 13: Long-term Rating keep twA-
Long-term Rating keep「twA-」 We have been receiving Long-Term Rating「twA-」 credit ratings from Taiwan Ratings since 2001. Short-Term Rating「twA-2」 Starting in 2024, we have maintained the best long-term Outlook「Stable」 credit rating of twA- for two consecutive years. 13
Slide 14: Passenger Strategy and Outlook
Passenger Strategy and Outlook 14
Slide 15: Global Passenger Market Outlook
Global Passenger Market Outlook • According to IATA, global GDP is expected to maintain steady growth from 2025 to 2027, with a projected 2.4% increase worldwide and 3.5% in the Asia-Pacific region in 2026. • Economic growth continues to drive air travel demand, with Boeing and Airbus projecting ave
Slide 16: Taiwan Passenger Market Outlook
Taiwan Passenger Market Outlook • In the next three years, Northeast and Southeast Asia will remain Taiwan’s key source markets, with continued potential in transit traffic. • All Taiwan international markets show growth, with strategies aligned to market maturity. Passengers by Region (Million) Tai
Slide 17: Passenger Fleet Plan
Passenger Fleet Plan • Capacity to expand through additional aircraft purchases and leases to support growth. • Starting in 2026, the introduction of 787-9 aircraft will enhance long-haul capacity and network flexibility. Aircraft Type End of SEP 2025 Aircraft Type End of 2026 Remark A321neo 19 A321
Slide 18: Building the Next-Generation Fleet for the Next Decade
Building the Next-Generation Fleet for the Next Decade A350-1000 x 10 777-9 x 10 （To be introduced from2029） （To be introduced from 2030） Large Widebody 787-9 x 18 787-10 x 6 （To be introduced from2026） （To be introduced from2027） Complete A333 phase- Medium out by 2027 Capacity A321neo x 30 Complet
Slide 19: 2025Q1~Q3 Passenger Operational Results
2025Q1~Q3 Passenger Operational Results Passenger revenue for the first three quarters of 2025 reached NT$77.73 billion. Passenger growth outpaced capacity, but increased market competition slightly reduced load factor and yield, in line with other Taiwan full-service carriers. Travel demand is expe
Slide 20: 2025 Monthly Passenger Revenue & L/F
2025 Monthly Passenger Revenue & L/F L/F NTD 100M 2024 Pax Rev 2025 Pax Rev 2024 L/F 2025 L/F 100% 150 82.3% 82.3% 81.9% 81.5% 81.6% 140 79.5% 81.3% 79.7% 80% 75.6% 72.6% 130 81.3% 77.7% 79.3% 77.5% 78.1% 76.8% 78.4% 78.1% 75.5% 78.4% 75.6% 69.8% 120 60% 106 110 96 98 100 92 95 93 40% 88 91 91 90 89
Slide 21: 2025Q1~Q3 Ancillary revenue / Tickets Reissue Charge
2025Q1~Q3 Ancillary revenue / Tickets Reissue Charge Chargeable Seats Web Upgrade Excess Baggage No Show Fee Reissue Fee + + + + Percentage : 53.1% Percentage : 3.6% Percentage : 13.4% Percentage : 2.5% Percentage : 27.4% Revenue for the First Three Quarters of 2025 NT$1.94 billion, representing a 1
Slide 22: Passenger Sales Strategy
Passenger Sales Strategy Product — Steady Growth Customer Service — and Strategic Deployment Evolving with Innovation ▪ Leveraging geographic advantage to ▪ New membership system makes expand North America network through earning points easier and upgrades partnerships with Southwest— The first fast
Slide 23: Route Expansion for Business Growth
Route Expansion for Business Growth North America Europe Regional First in Asia to Fly Nonstop to Nonstop Access to Key Deepening presence in Phoenix—Connecting Tech European Cities for Business and Southeast Asia with convenient Hubs and Expanding North Leisure travel options American Reach 2025 20
Slide 24: Southwest Partnership Connects Air North and JetBlue to Broaden North American Reach
Southwest Partnership Connects Air North and JetBlue to Broaden North American Reach • Interline partnerships with Southwest Airlines and Air North connect Asia to 30+ U.S. destinations, enabling seamless transfers and access to aurora-viewing spots. • Strengthening JetBlue collaboration with exclus
Slide 25: Customer Service Evolved, Journeys Made Safer
Customer Service Evolved, Journeys Made Safer Advancing Our Service: Expanded Customer Support Channels in 2025 2025/05 AI Customer Service • Generative AI platform • 12 languages • Digital Travel Assistant 2025/10 24hours Customer Service • Chinese/English(Taiwan/North America) • Hong Kong & Tokyo
Slide 26: Zootopia 2 Themed Aircraft Debut
“Zootopia 2” Themed Aircraft Debut • First-ever “Zootopia 2” livery introduced on our flagship Boeing 777 long-haul fleet • Dedicated campaign website launched on October 16 Social media promotion reached up to 100,000 users • Inaugural flight CI006: Taipei to Los Angeles on November 19 26
Slide 27: Miles Bring Smiles
Miles Bring Smiles ▪ New Membership Points System ▪ Miles & Stays ▪ Light Travel Challenge Simplifies calculations and makes tier progress Book hotels via platform → Earn miles or use miles Complete tasks → Earn points → Collect 8 points for Light easy to track. to pay. Travel Member status + one-ti
Slide 28: A New Chapter of Corporate Rewards Begins
A New Chapter of Corporate Rewards Begins 28
Slide 29: Co-branded inflight catering services
Co-branded inflight catering services Partnering with Michelin Restaurants and Leading Brands to Highlight Quality and Soft Power Le Palais TOUTOUAN Autumn Delicacies Yang Ming Spring Little Tree Food In-Flight Lounge Bar in Sweet Dessert and Drinks in MIPON Classic Taiwanese MOONMOONFOOD Co-branded
Slide 30: Continuously Achieving Excellence in ESG
Continuously Achieving Excellence Sustainability Report : Gold Class 8 th Selected for DJSI Emerging Market Index 2016-2023 6 t h Consecutive years selected for Global Corporate Sustainability 2019-2024 Achieved the highest ESG score in the Award global aviation industry in the DJSI reassessment for
Slide 31: Cargo Strategy and Outlook
Cargo Strategy and Outlook 31
Slide 32: 2025Q1-Q3 Cargo Operational Results
2025Q1-Q3 Cargo Operational Results Driven by the transportation of AI and semiconductor-related products, freight revenue in the first three quarters of 2025 increased by 13.7% compared with last year, with North America, Europe, and Southeast Asia routes as the main sources of freight revenue. 202
Slide 33: 2025Q1-Q3 Cargo Revenue and Yield
2025Q1-Q3 Cargo Revenue and Yield • Air cargo demand for AI servers and semiconductor products has been strong, so monthly revenue from January to September shows YoY growth. • In peak season, Q4 cargo volume and rate are expected to increase, and the performance is anticipated to be better than Q3.
Slide 34: The international cargo market is expected to continue positive growth
The international cargo market is expected to continue positive growth Global GDP in 2026 is expected to grow positively, including: • The Asia-Pacific region will exceed the overall average and remain the main engine of the world economy. • Taiwan is also expected to grow by 2.1% to 2.8%. For A
Slide 35: Cargo Fleet Advantage
Cargo Fleet Advantage Cargo Fleet Planning • Dual-model fleet: Balancing large capacity and fuel-saving cost advantages. • Full utilization of capacity: For example, CI 777F fleet achieves a utilization rate of 17.30 hours/day, surpassing the global average of 12.94 hours/day. • Continuous fleet ren
Slide 36: Core Competitiveness
Core Competitiveness Freighter Network Planning Professional Delivery With International certification • The only one airline operates freighters covering • Rich experience in handling special cargo such as Europe, America, and Asia in Taiwan. precision instruments, high-tech equipment, • Maximizing
Slide 37: Adapting to Trends, Flexible Deployment, Maintaining No. 1 Market Share in Taiwan
Adapting to Trends, Flexible Deployment, Maintaining No. 1 Market Share in Taiwan Operational strategy Industry and • Fleet：Two types of freighters plus passenger aircraft belly, maximizing cargo capacity and diversifying cargo sources. Economic Situation • Network：Flexible adjustment of flight freq
Slide 38: Aircraft Maintenance Development
Aircraft Maintenance Development 38
Slide 39: Aircraft Maintenance Development
Aircraft Maintenance Development • Since 2022, the customer line maintenance service has shown steady growth. In 2025, the number of handled aircraft is expected to exceed 33,000, representing a 9% YOY increase, with revenue projected to grow by 19.6%. • In addition to the current maintenance capabi
Slide 40: Aircraft Maintenance Development
Aircraft Maintenance Development In addition to its current engine maintenance capabilities GE CF6、CFM56, the Company joined the Pratt & Whitney GTF Engine MRO Network in late 2020, and inducted its first GTF engine for maintenance in Q3 2023. In 2025, a total of 21 engines are scheduled for mainten
Slide 41: Q&A
ro) bt) she 2° CHINA AIRLINES i) The best carrier from Taiwan Q&A
Slide 42: Thank you
感謝聆聽 Thank you 2025.11 中華航空│桃園市大園區航站南路一號 TEL│03-399-8888 42