Icelandair reveals profit of USD 13.7 million in Q2 – Highest since 2016.
- EBIT of USD 20.9 million, up by USD 19.6 million year-on-year.
- EBIT ratio 5%, bettering by 4.7 proportion factors between years.
Profit of USD 13.7 million in comparison with USD 3.8 million in Q2 final yr.
- Record working revenue of USD 414.2 million, rising by 26% year-on-year
- Record Q2 unit income (RASK) of 8.6 US cents, rising by 8% year-on-year
- Leasing income up 41% year-on-year leading to sturdy protability.
- Capacity elevated by 17% year-on-year within the passenger community 2 million passengers carried; 19% greater than in Q2 final yr.
- Load issue of 83.6%, particularly sturdy demand on North American routes Strong working money ow leading to highest ever liquidity place of USD 521.2 million.
- Forward bookings for the subsequent six months sturdy and above final yr.
Bogi Nils Bogason, President & CEO stated: “Thanks to the excellent work of our workers, we’re proud to ship the strongest ends in the second quarter since 2016. Achieving a prot of USD 13.7 million was pushed by report passenger income, traditionally excessive load issue, and improved yields in all our markets. Lower gas prices as a result of efciency of the Boeing 737 MAX plane and decrease gas costs additionally contributed positively to the outcomes. In addition, our leasing enterprise continued to carry out very effectively and ship sturdy protability.
Delays in upkeep initiatives and implementation of plane led to plane scarcity which we addressed by leasing further plane in June to make sure the reliability of our formidable ight schedule. This led to one-off prices that negatively impacted the Q2 outcomes. Our cargo operation remained difficult, however we rmly consider that we are going to flip it round throughout the subsequent few months with our sturdy deal with restoring protability. Bearing this in thoughts, the Q2 outcomes exhibit a robust underlying nancial efficiency and provides us nice condence for the long run.
All in all, the rst six months of the yr have been eventful as now we have ready for our largest ight schedule but in terms of the variety of locations and frequency of ights. We launched ve new locations, applied six new plane, carried 1.8 million passengers and recruited and educated virtually 1,200 workers.
The prospects for the second half of the yr stay favorable with continued sturdy bookings, notably from North America. Demand for ights to and from Iceland has been sturdy over the previous months. Capacity by Keavik airport has additionally elevated sharply to twenty% above pre-Covid ranges this summer time and much more into subsequent winter. This growth is predicted to impression yields and income development in some markets within the second half of the yr. However, we’re effectively outfitted to adapt to market situations at any given time with our priceless infrastructure, very sturdy liquidity, and glorious staff of workers. Our EBIT margin forecast for the total yr stays unchanged within the 4-6% vary and we due to this fact count on to ship web prot for the total yr of 2023.”