RESULTS AS AT 30 SEPTEMBER 2018
Good resilience of operating result thanks to revenue performance and unit cost reduction
THIRD QUARTER 2018
Air France-KLM commercial teams delivered a strong performance across all business segments:
? Number of passengers carried at 28.5 million up 2.3% compared to last year,
? Group unit revenue up 2.0% at constant currency,
? Strong revenue growth of 4.0%, with 5.8% at constant currency.
The Group posted a solid operating result thanks to unit cost reduction and revenue growth that helped to absorb fuel and currency headwinds:
? Operating result at 1,065 million euros, 77 million euros lower than last year1, but 11 million euros higher at constant currency,
? Unit costs reduced by -1.0% at constant currency, fuel and pension charges1.
The Group net debt has been reduced by 222 million euros compared to 31 December 20171 at 6.3 billion euros, and the net debt/EBITDA ratio remained stable at 1.4x.
The Group repurchased €197m of hybrid bonds, resulting in a reduction of its future coupons.
On 19 October 2018, Air France and its representative unions signed a pay agreement. Pilots’ categorical negotiations will open next week.
OUTLOOK FOR FULL YEAR 2018
The Group will continue to work on yield improvement within the context of an increased fuel price:
? Based on the current outlook and a demand environment that remains positively oriented, we expect Passenger network revenues to increase in the fourth quarter 2018, with long haul forward booking load factors ahead of last year and Passenger unit revenues stable at constant currency.
The unit cost target is confirmed at between 0% and +1.0% at constant currency, fuel and pension charges.
The Board of Directors of Air France-KLM, chaired by Anne-Marie Couderc, met on 29 October 2018 to approve the financial statements for the first nine months of 2018.
Benjamin Smith, CEO of Air France-KLM and Air France, commented: “Air France-KLM posted a solid performance in the Summer quarter 2018, reflecting the commitment of all its staff, its commercial strengths and the attractiveness of its brands. The agreement on salaries signed at Air France brings stability as well as new perspectives for our businesses and employees. In the coming months, I am confident that we will be able to leverage our Group’s strengths and assets to build an ambitious and innovative strategy to ensure the success of our airlines and reposition Air France-KLM as the leader of our industry.”
Air France-KLM Group
Third Quarter Nine Months 2018 Change1 2018 Change1
Passengers (thousands)28,531 +2.3% 76,985 +2.6%
Unit revenue per ASK2 (€ cts) 7.05 +2.0% 6.65 +1.6%
Operating result (€m) 1,065 -77 1,292 -403
Net income – Group part3 (€m) 786 +145 627 -464
Operating free cash flow (€m) -14 -135 127 -652
Net debt at end of period (€m) 6,349 -222
1 Since January 1st, 2018, Air France-KLM Group has applied the new accounting standards IFRS 9, 15 and 16. For the purpose of comparison, the Group consolidated financial statements have been restated as of 1st January 2017.
2 Passenger and Transavia, change at constant currency
3 See note page 4
see more on
Bij KLM was sprake van een operationele winst van 573 miljoen euro, 15 miljoen euro minder dan een jaar eerder. Bij Air France daalde de winst met 66 miljoen euro tot 493 miljoen euro.
De Midcap 732,19 +13,18 +1,83% Air France KLM EUR 8,742 +25,2ct vol. 1,2 milj.