Home » Financial » Currently Reading:

AIRFRANCE KLM Financial Year 2014: First Half results

July 29, 2014 Financial No Comments Email Email

AirfranceFIRST HALF

  • Revenues of 12.01 billion euros, up 1.0% like-for-like
  • Net result, group share of -614 million euros, improvement of 185 million euros

  • Adjusted net result, group share1 of -342 million euros, improvement of 344 million euros
  • Net debt of 5.4 billion euros; net debt/EBITDA ratio of 2.6, a 0.3 point improvement compared to 31 December 2013

FULL YEAR 2014 OUTLOOK

  • Tough operating environment
  • EBITDA expected between 2.2 to 2.3 billion euros
  • On track to reach net debt target of 4.5 billion euros next year

KEY DATA

In the Second Quarter of 2014, total revenues amounted to 6,451 million euros versus 6,541 million euros in 2013, down 1.4%, but up +1.7% on a constant currency and scope basis (like-for-like). Currencies had a negative 168 million euro impact on revenues.

Operating costs were reduced by 3.8% and by 1.5% on a constant currency basis. Ex-fuel, they decreased by 3.4% and by 2.6% on a constant currency basis. Unit cost per EASK1 (Equivalent Available Seat Kilometer) was reduced by 4.0%, and by 1.7% on a constant currency, fuel price and pension expense basis, against capacity measured in EASK up by 0.9%. The fuel bill amounted to 1,636 million euros, down 5.6%, but stable (+0.2%) on a constant currency basis. Total employee costs including temporary staff were down 3.4% to 1,934 million euros, and by 3.2% on a constant currency basis. At constant pension expense and scope, they declined by 47 million euros.

EBITDA amounted to 641 million euros,  an improvement of 131 million euros. The EBITDA margin stood at 9.9%, a 2.1 point improvement on 2013. The operating result stood at 238 million euros versus 84 million euros in 2013, an 154 million euro improvement. Currencies had a 20 million euro net negative impact on the Second Quarter operating result.

The net result, group share stood at -6 million euros against -158 million euros a year ago. It was impacted by an 106 million euro impairment charge relating to assets of the Cargo business[1]. On an adjusted basis2, the net result, group share stood at 143 million euros against -34 million euros in Second Quarter 2013, a 177 million euro improvement.

In the First Half 2014, total revenues stood at 12,005 million euros versus 12,222 million euros in 2013, down 1.8%, but up +1.0% on a like-for-like basis. Currencies had a negative 287 million euro impact on revenues.

Operating costs were reduced by 3.6% and by 1.7% on a constant currency basis. Ex-fuel, they decreased by 2.9%, and by 2.0% on a constant currency basis. The fuel bill amounted to 3,189 million euros, down 5.9%, and 1.5% on a constant currency basis. Total employee costs including temporary staff were down 3.6% to 3,780 million euros, and by 3.4% on a constant currency basis. At constant pension expense and scope, they declined by 106 million euros.

EBITDA improved by 197 million euros to 591 million euros, resulting in an EBITDA margin of 4.9%, a 1.7 point increase on 2013. The operating result stood at -207 million euros versus -448 million euros in 2013, an 241 million euro improvement. Currencies had a 45 million euro net negative impact on the operating result in the First Half.

The net result, group share stood at -614 million euros against -799 million euros a year ago. It was impacted by the adjustment in the value of the cash held by the Group in Venezuela recorded in the First Quarter and the impairment charge in the Cargo business in the Second Quarter. On an adjusted basis[2], the net result, group share stood at -342 million euros against -686 million in the First Half 2013, a 344 million euro improvement.

Earnings and diluted earnings per share both stood at -2.07 euros (-2.70 euros in 2013), and at -1.16 euros on an adjusted basis (-2.32 euros in 2013).


[1] See details in “Cargo business” section below

[2] See definition in appendix

Comment on this Article:







Time limit is exhausted. Please reload CAPTCHA.

Platinium Partnership

ADVERTISEMENTS

Elite Partnership Sponsors

ADVERTISEMENTS

Premier Partnership Sponsors

ADVERTISEMENTS

Official Media Event Partner

ADVERTISEMENTS

Global Travel media endorses the following travel publication

ADVERTISEMENTS

GLOBAL TRAVEL MEDIA VIDEOS