The Cathay Pacific Group reported an attributable revenue of US$ 772.5 million for 2015. This compares with a profit of US$ 406 million in 2014. Profits per share were US$ 19.64 cents as compared to US$ 10.32 cents in the previous year.

The Group's performance in 2015 was better than in 2014, with the business benefiting from low fuel prices. The high traveler load elements experienced in the very first half of the year continued in the second half, reflecting strong economy class demand.

The Group's passenger earnings in 2015 was US$ 9,405.6 million, a decline of 3.5 % compared with 2014. Capability increased by 5.9 %, showing the intro of new routes (to Boston, Dsseldorf, Hiroshima and Zurich) and enhanced frequencies on some other paths. The load factor increased by 2.4 portion points, to 85.7 %. Strong competition, a substantial decrease in fuel additional charges, damaging foreign currency motions and that a greater proportion of travelers were connecting through Hong Kong put down pressure on yield, which decreased by 11.4 % to US$ 7.67 cents. Economy class need was strong. Premium class need improved on local paths but was not as strong as anticipated on some long-haul routes.

The Group's freight profits in 2015 was US$ 2,977.2 million, a decline of 9.0 % as compared to the previous year. This primarily reflected a decrease in fuel surcharges due to lower fuel rates. Capacity for Cathay Pacific and Dragonair enhanced by 5.4 %. The load factor decreased by 0.1 portion indicate 64.2 %. Strong competition, a significant reduction in fuel surcharges, unfavourable foreign currency movements and the reduction in fuel surcharges put pressure on yield, which decreased by 13.2 %, to US$ 0.24. Need was strong in the very first quarter of 2015, helped by industrial action at ports on the west coast of the United States. Overall demand was weak for the rest of the year, particularly on European paths.

Overall fuel expenses for Cathay Pacific and Dragonair (before the impact of fuel hedging) decreased by US$ 1,874.9 million or 37.8 % compared with 2014, regardless of boosts in capacity. A 40.3 % decrease in average prices was partially offset by a 4.3 % boost in usage. Fuel is still the Group's most significant cost, making up 34.0 % of total operating costs in 2015 (compared with 39.2 % in 2014). Fuel hedging losses decreased the advantage of lower fuel expenses. After taking hedging losses into account, fuel expenses decreased by US$ 943.9 million or 18.2 % compared with 2014.

The Group's operating expenses unique of fuel enhanced by 2.3 % in 2015 compared to 2014. There was a 3.1 % decrease in non-fuel expenses per ATK.

The contribution from Air China (the results of which are consisted of in the Group's outcomes 3 months in arrear) was substantially greater in 2015 than in 2014. In August 2015, devaluation of the Renminbi led to significant foreign exchange losses for Air China.

In 2015, Cathay Pacific presented passenger services to Zurich (in March), to Boston (in May) and to Dsseldorf (in September), all of which have actually been well received. Dragonair presented passenger services to Haneda in Tokyo (in March 2015) and to Hiroshima (in August 2015). Cathay Pacific presented a freighter service to Kolkata in March 2015 and increased truck frequencies to North America and India.

In 2015, Cathay Pacific took delivery of six Boeing 777-300ER airplane and three Airbus A330-300 airplane. The Boeing 777-300ER provided in September 2015 was the 53rd and final airplane of this type to join our fleet. Four Boeing 747-400 traveler airplane and 4 Airbus A340-300 aircraft were retired in 2015.

The Group remains to invest heavily in its items and brands. Cathay Pacific's brand-new livery was presented in November 2015. Except for Boeing 747-400 and Airbus A340-300 traveler aircraft that are being retired, all Cathay Pacific and Dragonair wide-bodied traveler aircraft have been fitted or refitted with brand-new or rejuvenated seats in all classes. The new Airbus A350XWB airplane will have brand-new cabins, seats and entertainment systems. The first class lounge at The Pier at Hong Kong International Airport resumed in June 2015. New lounges were opened in Manila in May, Bangkok in June, San Francisco in October and Taipei in November 2015.

Outlook.
Cathay Pacific Chairman John Slosar said: "The operating environment was better in 2015 than in 2014, however we faced some substantial challenges, which we expect to continue in 2016. Strong competitors from other airlines in the area, foreign currency motions and weak premium class traveler demand will put pressure on passenger yield.

"We are confident of longer-term success, and we will continue to help our passengers to travel well. In January 2016, we revealed that Dragonair is to be rebranded as Cathay Dragon, as part of an effort to create a more consistent travel experience between the 2 airlines.