English Icelandic
Published: 2011-08-11 11:40:46 CEST
Icelandair Group hf.
Financial Statement Release

CORRECTION: Strong organic growth - 27% increase in the number of passengers on international flights

 Second quarter performance, 2011

  • Total turnover was ISK 25.0 billion, up by 14% from the corresponding quarter of last year.
  • Taking account of companies that exited the Group at the turn of the year 2010, the increase in turnover corresponds to 21%.
  • EBITDA was ISK 2.1 billion, remaining unchanged year on year. Equivalent operations yielded EBITDA of ISK 1.9 billion in 2010.
  • The EBITDA ratio was 8.3%, as compared to 9.8% at the same time last year.
  • Fuel prices on average were 47% above last year’s price levels, resulting in an estimated cost increase of ISK 1.7 billion.
  • Depreciation was ISK 1.5 billion.
  • The EBITDAR ratio was 15.5%, as compared to 20.3% at the same time last year.
  • Financial costs amounted to ISK 0.1 billion, as compared to ISK 1.1 billion in the preceding year.
  • Profit after taxes was ISK 0.4 billion, as compared to a loss of ISK 0.2 billion at the same time last year.

 

Performance in the first 6 months of 2011

  • Total turnover was ISK 41.5 billion, increasing by 8% year on year.
  • Taking account of companies that exited the Group at the turn of the year 2010, the increase in turnover corresponds to 15%.
  • EBITDA was ISK 1.9 billion and the EBITDA ratio was 4.6%, as compared to ISK 2.3 billion 6.1% respectively in the preceding year. Equivalent operations yielded EBITDA of ISK 1.8 billion in 2010.
  • The EBITDAR ratio was 13.3%, as compared to 17.4% at the same time last year.
  • Financial costs amounted to ISK 0.6 billion, as compared to ISK 1.8 billion at the same time last year.
  • Net cash from operating activities amounted to ISK 13.8 billion, as compared to ISK 9.4 billion in the first six months of the preceding year.
  • Cash and cash equivalents and marketable securities at 30 June amounted to ISK 18.4 billion, as compared to ISK 7.5 billion for the corresponding period of last year.
  • Total assets amounted to ISK 94.6 billion at the end of the period and the equity ratio was 29.1%, as compared to 13.4% at the same time last year.

 

Björgólfur Jóhannsson, CEO:

“The second quarter was characterised by strong organic growth, with capacity on international flights increasing by 25% between years. At the same time the number of passengers increased by 27%. Loftleidir saw a 28% increase in turnover and Air Iceland added more flights to Greenland, with the number of passengers increasing by 5% over the period. The Group also opened a new hotel in Akureyri.

High oil prices, volcanic eruption and union action were among the challenges faced by the Company. Costs and revenue losses related to the volcanic eruption that occurred during the quarter are estimated at ISK 300 million and revenues were similarly affected by the pilot overtime strike. Their actions came at the worst possible time as the training of new pilots had been delayed due to the eruption. Oil prices on average were 47% above last year’s levels, resulting in a cost increase of ISK 1.7 billion. In view of this we are very pleased with the Company's performance and it is clear that underlying operations are sound.

The financial position of the Company is strong. The equity ratio is 29% and cash and cash equivalents and marketable securities stood at about ISK 18.4 billion at the end of June. The outlook in terms of bookings and project status over the coming months is strong and the EBITDA projection for the whole year remains unchanged at ISK 9.5 billion.”

 

For further information, please contact:

Björgólfur Jóhannsson President and CEO, Icelandair Group,     tel. +354-896-1455
Bogi Nils Bogason, CFO, Icelandair Group,                                  tel. +354-665-8801

 


Icelandair Group hf 30 June 2011.pdf
Pressrelease_Q2_2011.pdf