Cebu Pacific eyes P368 million from sale of 2 ATR aircraft

MANILA, Philippines — Low-cost carrier Cebu Pacific is eyeing to raise at least P368 million from the sale of two aircraft that are starting to lose value in large-scale airports, such as in Manila.

Based on its financial report, Cebu Pacific’s parent Cebu Air Inc. has put up for sale two ATR 72-500s worth a combined P368.4 million, boosting potential earnings outside of flight services.

Cebu Pacific said the aircraft are being sold below their fair value, thus it expects to sell them before the end of 2026.

“In addition, in 2025, Cebu Pacific reclassified two ATR freighters as assets held for sale coming from the assessment that these will be recovered principally through a sale transaction rather than through continuing use. The total carrying amount of the two freighters is P368.4 million, which is lower than their respective fair value less cost to sell,” Cebu Pacific said.

Right now, Cebu Pacific operates in its fleet 20 turboprops made by ATR. The airline owned by the Gokongweis uses turboprops to reach island destinations like Busuanga and El Nido.

Although turboprops have their market, they are being taken out of bigger airports like the Ninoy Aquino International Airport (NAIA) for their operational inefficiency compared to jetliners.

Whereas an Airbus A320 can ferry around 180 passengers, a turboprop can carry only 72 at best, so the slot regulator in NAIA forced them out of the airport.

To date, the country’s leading carriers, including Cebu Pacific, is limited to operating turboprops in secondary gateways like Clark International Airport and Mactan-Cebu International Airport.

Selling the two ATR turboprops will also boost Cebu Pacific’s pockets in the midst of price hikes in jet fuel. Based on records from the International Air Transport Association, jet fuel prices have gone up by 13 percent on a weekly basis to $197 per barrel as of March 20.

Currently, Cebu Pacific is holding on to a jet fuel inventory lasting until June. The carrier said it is working with suppliers in securing jet fuel for the months following June.

Cebu Pacific flew a record 26.9 million passengers over 169,407 flights in 2025, lifted by a fleet of 100 aircraft, the largest right now in the Philippines.

However, as with any airlines, the carrier is bracing for impact from geopolitical tensions in the Middle East, which are triggering uncertainties on fuel prices and supply.