Cathay Pacific Airways Ltd projected “strong” financial results in the second half of the year, aided by increased cargo demand and lower fuel prices.

Hong Kong’s flag carrier said its expected results will be partially offset by a continued normalization of passenger yields, according to a stock exchange filing Friday.

“The second half of the year has historically been the stronger of the two halves for the Group and this has been the case this year as it was in 2023,” Cathay’s Chief Customer and Commercial Officer Lavinia Lau said.

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Results from associates, which include Air China Ltd, are expected to improve compared with the first half, the airline said. Cathay’s net income in the second half of 2023 was HK$5.5 billion ($708 million).

Analysts project Cathay will deliver full-year net income of around HK$7.5 billion, lower than its 2023 results. First-half net income fell 15 percent to HK$3.6 billion from a year earlier as post-COVID travel demand normalized.

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A strong profit performance would buck the trend of peer Singapore Airlines Ltd, which reported a sharp fall in its fiscal first half net income. Both Cathay and SIA have no domestic market to rely on, and the international routes the Hong Kong carrier operates are facing heightened competition. The pair have seen yields — a key metric of profitability — weaken from post-pandemic highs.