The Cathay Group reported an attributable profit of HK$10.8 billion (US$1.39 billion) in 2025, an increase of 9.5 percent on the previous year, which it said was driven by "increased capacity, solid passenger load factors and resilient cargo demand".

The firm said this represented a third consecutive year of solid financial performance during "a period of rapid rebuilding".

"The prevailing global geopolitical environment is volatile, causing unexpected shifts in passenger and cargo traffic flows as well as jet fuel prices," chairman Patrick Healy said in a statement.

"We expect to grow passenger capacity by around 10 percent in 2026 as we add frequencies and destinations to our network, which will also contribute to increased cargo capacity," he said.

"Ongoing supply chain disruption and cost inflation continue to impact delivery of new aircraft, cabin products and parts."

Cathay also said extra flights to Europe would be operated in March to cater for an upsurge in demand.

The carrier suspended all March flights to Dubai and Riyadh this week because of the war in the Middle East, extending earlier suspensions.

Energy concerns arising from the war have driven up oil prices, with some Asian airlines hiking ticket fares.