The Cathay Group announces 2024 annual results

Cathay Pacific Airways reported cargo revenue of HK$24 billion in 2024, reflecting an 8% year-on-year increase, supported by higher freight rates and stable demand. The airline transported 1.53 million tonnes of cargo, marking a 10.9% rise compared to the previous year.

The carrier expanded its cargo capacity, with available freight tonne kilometres (AFTK) increasing by 8.6%, while revenue freight tonne kilometres (RFTK) saw a more modest 5% growth. Despite a 2.1 percentage point decline in the cargo load factor to 59.9%, cargo yield improved by 2.9% to HK$2.82, indicating stable market pricing and strong demand across key trade lanes. Cathay Cargo experienced substantial growth across various sectors, reflecting strong demand for air freight services.

e-commerce shipments from the Chinese Mainland to long-haul destinations, particularly the Americas, saw a significant rise, driven by the global surge in online shopping. The airline also recorded strong export volumes of perishables and pharmaceuticals, especially from Europe to Hong Kong and other regional destinations, demonstrating its capability in handling specialized cargo.

The automotive sector also contributed to the airline’s cargo growth, with a notable increase in the transportation of automotive components. This was particularly evident in shipments from Japan and Germany to key manufacturing hubs in Southeast Asia. Additionally, technology products, including semiconductors and consumer electronics, remained a major segment of Cathay Cargo’s operations. These goods were primarily transported along major trade routes linking East Asia with North America and Europe. Ronald Lam, Chief Executive Officer of Cathay Pacific highlighted Cathay Cargo’s performance, stating, “Our cargo performance was strong, thanks in part to the additional belly space provided by our increased passenger flights, which enabled us to carry more cargo.”

Stake dilution in Air China In 2024, Cathay Pacific’s stake in Air China declined following an external share issuance. On December 10, Air China issued