SECOND QUARTER
Revenues of 6.22 billion euros, down 5.2% and down 3.7% like-for-like1, with clear deterioration during the quarter
Non fuel unit costs down 1.5% at constant currency
EBITDA2 of 728 million euros, a reported increase of 171 million euros and up 211 million euros like-for-like
Operating result of 317 million euros, an improvement of 138 million euros and up 183 million euros like-for-like
FIRST HALF
Revenues of 11.82 billion euros, down 2.6% both reported and like-for-like
EBITDAR of 1,522 million euros, an improvement of 486 million euros, up 597 million euros like-for-like
Strong operating free cash flow2 generation: 373 million euros
Further net debt reduction: net debt2 of 4.04 billion euros, down 265 million euros compared to 31 December 2015
Adjusted net debt / EBITDAR2 ratio of 2.9x, an improvement of 0.5 points compared to 31 December 2015
FULL YEAR 2016 OUTLOOK
High level of geopolitical and economic uncertainties, increasing pressure on unit revenues and special concern about France as a destination
Impact of fuel savings on P&L expected to be more than offset in the coming quarters by downward pressure on unit revenue and negative currency impacts
Continued progress in unit cost reduction, targeted at around 1% ex fuel in 2016
Free operating cash flow generation after disposals maintained between 0.6 billion euros and 1.0 billion euros in 2016
Further significant net debt reduction
The Board of Directors of Air France-KLM, chaired by Jean-Marc Janaillac, met on 26th July 2016 to approve the accounts for the First Half of the Financial Year 2016.
Like-for-like: excluding currency. Same definition applies in rest of press release
2 See definition in appendix
The consolidated financial statements of the Group were revised as of 1st January 2016 in order to reflect Servair as a discontinued operation. The 2015 financial statements have been restated accordingly. Details of this restatement can be found in the appendix of this press release.
Second Quarter 2016 total revenues stood at 6.22 billion euros versus 6.56 billion euros in Second Quarter 2015, down 5.2% as a result of increasing pressure on unit revenue and down 3.7% like-for-like.
Currencies had a negative 104 million euro impact on revenues, primarily driven by the weakening of currencies other than the US dollar against the euro, notably the BRL, GBP, CNY, CAD and ZAR. The negative effect on revenues was partly offset by the positive effect of currencies on costs, which amounted to 58 million euros. The net impact of currencies on the operating result thus amounted to a negative 46 million euros.
Total operating costs were 7.5% lower year-on-year and down 6.7% on a like-for-like basis. Ex-fuel, they increased by 0.3% and by 0.5% on a like-for-like basis. Unit cost per EASK was down 1.5%, on a constant currency, fuel price and pension-related expense basis, against stable capacity measured in EASK (+0.3%).
The fuel bill amounted to 1,167 million euros, down 29.7% and down 27.6% like-for-like. Based on the forward curve at 15 July 2016, the Full Year 2016 fuel bill is expected to reach 4.6 billion euros3 and the Full Year 2017 fuel bill could amount to 4.4 billion euros.
Total employee costs including temporary staff were down 2.7% to 1,862 million euros. On a constant scope and pension-related expense basis, employee costs decreased by 2.9% and by 3.6% excluding the increase in the profit sharing scheme.
Over the Second Quarter 2016, 15% of the savings achieved on the fuel bill were retained, down significantly from the 55% retained during First Quarter 2016. During the Second Quarter, the positive fuel price effect of 408 million euros was largely offset by pressure on unit revenues (negative 300 million euros) and currency impacts (negative 46 million euros).
EBITDAR amounted to 991 million euros, a reported increase of 179 million euros and up 226 million euros like-for-like.
EBITDA amounted to 728 million euros, an increase of 171 million euros. Like-for-like, EBITDA increased by 211 million euros, mainly as a result of the strong Passenger network performance, which improved by 186 million euros like-for-like.
3 Average Brent price of USD 45, average jet fuel market price of USD 422 per ton, average exchange rate of 1.11 USD per euro for period July-December 2016. 2017 average Brent price of USD 52, average jet fuel market price of USD 493 per ton, average exchange rate of 1.11 USD per euro.
read more on
http://www.airfranceklm.com/sites/default/files/communiques/2016-q2_press_release_en_def.pdf
tijd 09.29
Air France KLM EUR 5,426 +21ct vol. 1,3 milj.
