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Cebu Air, Inc.1st Quarter 2019Results of Operations

10 May 2019

Disclaimer

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The information provided in this presentation is provided only for your reference. Such information has not been independently verified and, as such, is not guaranteed to be accurate nor complete. Neither Cebu Air, Inc. (“CEB” or the “Company”) nor any of its affiliates, shareholders, directors, employees, agents or advisers makes expressed or implied representations or warranties as to the accuracy or completeness of the information contained herein and neither of them shall accept any responsibility or liability (including any third party liability) for any loss or damage, whether or not arising from any error or omission in compiling such information or as a result of any party’s reliance or use of such information. The information and opinions in this presentation are subject to change without notice.

EBITDAR, EBITDA, EBITDAR Margin, EBIT and core net income are not measures of performance under the Philippine Financial Reporting Standards (“PFRS”), and should not be considered in isolation or as alternatives to net income as an indicator of CEB’s operating performance or to cash flow from operating, investing and financing activities as a measure of liquidity, or any other measures of performance under PFRS. Because there are various EBITDAR, EBITDA, EBITDAR Margin, EBIT and core net income calculation methods,CEB’s presentation of these measures may not be comparable to similarly titled measures used by other companies.

This presentation also contains certain “forward-looking statements.” These forward-looking statements include words or phrases such as CEB or its management “believes”, “expects”, “anticipates”, “intends”, “plans”, “foresees”, or other words or phrases of similar import. Similarly, statements that describe CEB’s objectives, plans or goals are also forward-looking statements. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those contemplated by the relevant forward-looking statement. Such forward looking statements are made based on management’s current expectations or beliefs as well as assumptions made by, and information currently available to, management. There is no assurance that expectedevents will occur, that projections will be achieved, or that the Company and its management’s assumptions are correct.

10 May 2019

Business Updates

1Q2019: A GOOD START TO 2019

10 May 2019 4

Growth

Fleet: 70 (vs 63 1Q18)

Pax: 5.29 M (+8% YOY)

SLF: 84.2% (+2% pts YOY)

ASK: 7.06 B (+11% YOY)

RPK: 5.89 B (+14% YOY)

Revenue

Revenue: PhP21.18 B (+16% YOY)

Pax Yield: PhP3,732 (+7% YOY)

Cargo Yield: PhP28/kg (+11% YOY)

RASK: PhP 3.00 (+5% YOY)

Macroeconomic Drivers

MOPS Price: $76.50/bbl (-4% YOY)

PHPUSD Rate: PhP52.36 (+2% YOY)

Average for January-March 2019

Profitability

EBITDA: PhP6.07B (+52% YOY)

PT Core Income: PhP3.3B (+65%)

Net Income: PhP3.43B (+138%)

10 May 2019 5

3.8M passengers, up 5.9% YOY

4.4M seats, up 4.5% yoy

SLF 85.3%

Most extensive network*:

36 destinations, 68 routes

2,165 weekly flights

Market share of 53% = CPI of 1.03

market share > capacity share

CEB remains leader in MLA and CEB while expanding Clark hub

CRK: catchment area of est. 23M population, covering Region 1, 2, 3, the CAR, and Northern Luzon

DOMESTIC: GEARING UP CLARK EXPANSION

*As of March 31, 2019

CEB53%PAL

29%

AA17%

Others1%

1Q19 Domestic Market Share

Source: CEB Internal Estimates

33k

64k

1Q18 1Q19

Clark Capacity Growth

96%

10 May 2019 6

1.52M passengers, up 15.6% YOY

1.86M seats, up 11.2% YOY

Introduced MMNL-MEL and CEB-NRT, added frequencies to Japan and Macau

SLF of 81.7% vs 78.6% in 1Q18

Network: 26 destinations, 38 routes

560+ weekly flights

Network expansion plan:

Launching Cebu-Shanghai route

Up-gauging strategy for growth continues:

Osaka and Shanghai from A320 to A330

Adding 2nd frequency to Bangkok

INTERNATIONAL MARKETS DRIVING CEB GROWTH

Financial Results

1Q19 1Q18 % YoY

Revenue (Php M) 21,177 18,261 16.0%

Passenger 15,679 13,676 14.6%

Ancillary 4,056 3,306 22.7%Cargo 1,442 1,279 12.7%

Ave. Yield (Php) 3,732 3,483 7.2%Ave. fare 2,965 2,805 5.7%Ave. ancillary 767 678 13.1%

Cargo/kg 28 25 11.4%

Operating Exp. (M) 17,345 15,997 8.4%ProfitabilityEBITDAR 8,030 5,816 38.1%

EBITDA 6,071 3,988 52.2%EBIT 3,832 2,264 69.3%

Pre-tax Core 3,335 2,015 65.5%Net Income 3,426 1,437 138.4%

Margin

EBITDAR 37.9% 31.8% 6.1% ptsEBITDA 28.7% 21.8% 6.8% ptsEBIT 18.1% 12.4% 5.7% ptsPre-tax Core 15.7% 11.0% 4.7% ptsNet Income 16.2% 7.9% 8.3% pts

1source: Published MOPS and PDS rates

Net income more than doubled in 1Q19 amid yield increases, strong passenger growth and successful cost management!

10 May 2019 8

NET INCOME SURGES 138% to P3.4B in 1Q19 1Q19 1Q18 % YoY

ASK (M) 7,064 6,389 11%

RASK 3.00 2.86 4.9%

CASK 2.46 2.50 -1.9%

Fuel 0.83 0.92 -9.1%

Ex-fuel 1.62 1.59 2.2%

Fuel Vol (L) 205M 190M 7.9%

MOPS/bbl1 76.50 79.99 -4.4%

P/US$1 52.36 51.49 1.7%

In Millions of PHPMar. 31,

2019Dec. 31,

20182019 vs end

2018Cash and cash equiv. 22,512 16,893 5,620 33%Other current assets 7,967 9,052 -1,085 -12%

Property & equipment 96,090 95,100 990 1%Others 7,773 8,347 -574 -7%

TOTAL ASSETS 134,342 129,391 4,950 4%

Current Debt 6,545 6,615 -71 -1%

Noncurrent Debt 47,351 47,182 168 0%Other liabilities 37,007 35,492 1,516 4%TOTAL LIABILITIES 90,903 89,289 1,613 2%EQUITY 43,439 40,102 3,337 8%

Cash to Sales Ratio 29% 23%

Current Ratio 0.83 0.74Net debt to Equity 0.72 0.92

Adj. Net debt* to Equity 1.41 1.71

Cash and cash and equivalents = 4 months of revenues

New PPE and Debt:

• 1 new A321NEO

P1.8B increase in unearned transportation revenues on the back of higher forward bookings

Strong gearing ratio of 0.72x of equity enables us to leverage for growth.

*Adjusted net debt = net debt + capitalized leases and ARO liability based on the present value of future operating lease commitments.

10 May 2019 9

ROBUST BALANCE SHEET POISED FOR FURTHER GROWTH

in Millions of PHP 1Q18CASHFLOWS FROM OPERATING ACTIVITIESIncome after noncash adjustments 6,395

Net changes in working capital 3,039

Interest and taxes paid – net -560

Net cash provided by operating activities 8,873

CASHFLOWS FROM INVESTING ACTIVITIES

Acquisition of PPE -4,415Proceeds from disposal 1,060

Dividends from JVs and other non-current assets 38Net cash used in investing activities -3,317

CASHFLOWS FROM FINANCING ACTIVITIES

Proceeds from borrowings 2,965Repayment of debt -2,798

Treasury Stocks -89Net cash used in financing activities 79

Net foreign exchange difference -16NET INCREASE IN CASH AND CASH EQUIVALENTS 5,620CASH AND CASH EQUIVALENTS, beginning 16,893

CASH AND EQUIVALENTS, END 22,512

- Additions to PPE: final payment for 1 A321NEO and pre-delivery payments for future NEOs

- P1.1B proceeds from sale of 1 A320CEO

10 May 2019 10

CASH FLOW HIGHLIGHTS

2019 and BEYOND

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MACRO ECONOMIC OUTLOOK

10 May 2019

Fuel:

We continue to hedge in layers, to match our forward booking levels

Balance 2019 (May-Dec): 39% hedged

20% Jet swaps at ave. $83

7% Jet collars with ave. $84 cap

12% Brent collars, with ave. $68 cap

2020: 12% Brent swaps at $67 and Brent collars with a $73 cap

Forex:

We continue to create natural hedges:

Reduced USD debt to 58% of total

Ongoing USD spot and short-term forwards purchase program

Moving towards like for like currency acquiring, to create match of inflows and outflows

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PHPUSD Closing Rate

Source: Bloomberg (ticker FSSKM1 and USDPHP)

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SHORT-TERM COMMERCIAL andOPERATIONAL OUTLOOK

Forward booking update:

We have sold 41% of our seats for the next 3 months.

Grow domestic leadership by up-gauging Manila and with new routes out of Clark (CRK-ILO, BCD, PPS)

Pioneering Clark-Narita route

Marketing Cebu as transit hub to Philippine’s leisure destinations: Boracay, Siargao, Palawan etc.

• Pioneering Cebu-Shangai route

10 May 2019

Ongoing Flight disruption issue:

Last 3 days of April resulted in 54 domestic flight cancellations due to various factors: high traffic in and out of Manila, low levels of on-time performance, and consequential rolling delays affecting both passengers and crew

For remainder of the year, to increase resilience in network schedule and crew availability, we reduced active line of operations by 1 A320 aircraft as additional spare provisioning. This is a reduction of approx. 10 domestic flights per day.

Revised capacity growth outlook: 14% increase.

41% 37%

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2019 2018

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3-Month Forward Bookings

Bookings Capacity % Sold

Forward bookings for May-July as of April 30

41 new AC over the next 5 years (37 NEOS), replacing 30 old AC to exit, for long term, conservative growth outlook in the low teens.

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FLEET EXPANSION PLAN:BIGGER, NEW-GENERATION AIRCRAFT

Capacity 2019 2020-2023

A321NEO 236 seats 6* 26

A320NEO 188 seats 5 -

ATR 72-600 78 seats 1 3

TOTAL 12 29

YOY Seat growth guidance 14% 10%

CEB’s “Eco-plane” - NEO

15% reduction in fuel burn

Reduction in Nitrogen Dioxide and Carbon Dioxide emissions

Up to 75% less engine noise

Thinner, lighter seats

*1ST A321NEO arrived January 21, 2019

10 May 2019

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