euro adhoc: Austrian Airlines AG
Quarterly or Semiannual Financial Statements
/ Reduction in result due to difficult operating environment
Half-year result of the Austrian Airlines Group (January to June 2005)
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
25.07.2005
The first half-year of 2005 was marked by very high fuel prices (peaks of over US$ 600/ton), overcapacity in the market and a weak load factor, especially in the first quarter. Despite increases in passenger volume and stabilisation in the load factor, which the company was even able to raise above last years figure at the end of the second quarter, these factors combined to produce a clear reduction in the result overall.
Compared to the same period last year, the adjusted EBIT fell from EUR -8.5m to EUR -63.5m. The EBIT, meanwhile, slid from EUR -18.9m to EUR -93.3m. Result before tax was EUR -106.6m, against EUR -27.5m the previous year (adjusted: down from EUR -18.3m last year to EUR - 83.3m in 2005).
Vagn Soerensen, Chief Executive Officer of Austrian Airlines, commented as follows on the half-year result for 2005: At the beginning of the year, we slowed down our planned growth and adjusted flight capacity where necessary. At the same time, we launched an extensive sales offensive and increased the competitiveness of our Vienna hub by supporting transfer charges. As a result, we succeeded in increasing passenger figures and stabilising our load factor in the second quarter, although it was not possible to compensate the negative environmental factors with such measures. The winter period, when demand tends to be lower due to seasonal factors in any case, is expected to produce a highly volatile demand trend, which we will proactively counter through targeted capacity adjustments and tight cost management. Due to the challenging operating environment - fuel prices and overcapacity in particular - we expect to see a negative adjusted EBIT for 2005 as a whole.
Financial Result, 1st Half-Year 2005
Key Figures Unit 1-6/2005 1-6/2004 +/- % Revenue EURm 1,077.5 1,047.8 2.8 Operating revenue EURm 1,082.0 1,067.9 1.3 Operating expenses EURm -1,175.3 -1,086.8 -8.1 EBITDAR EURm 47.7 105.9 -55.0 EBITDAR adjusted 1 EURm 77.6 134.5 -42.3 EBIT EURm -93.3 -18.9 - EBIT adjusted 2 EURm -63.5 -8.5 - Financial result EURm -13.3 -8.6 -54.7 Result before tax EURm -106.6 -27.5 - Result before tax adjusted 2 EURm -83.3 -18.3 - Result after tax EURm -79.9 -40.5 - Result after tax adjusted 2 EURm -56.6 -31.3 - Cash flows from operating activities EURm 146.0 146.1 -0.1 Net loss for the reporting period EURm -79.1 -41.0 - Passengers carried scheduled and charter services) 4,499,094 4,418,915 1.8 Passenger load factor (scheduled services) % 69.8 71.1 -1.3 P. Cargo Tons 72,509 70,332 3.1
1 Adjusted for profits/losses from the disposal of assets, other disposal costs of aircraft ( 2005: EUR 0.0m, 2004: EUR 5.7m) and for exchange rate valuations at the reporting date. 2 Adjusted for profits/losses from the disposal of assets, other disposal costs of aircraft, exchange rate valuations at the reporting date and revaluations of aircraft.
end of announcement euro adhoc 25.07.2005 07:32:59
Further inquiry note:
Konzernkommunikation:
Johannes Davoras
Johann Jurceka
Tel.: 051766-1231
Investor Relations
Dr. Prisca Havranek-Kosicek
Tel.: 051766 - 3642
Branche: Air Transport
ISIN: AT0000620158
WKN: 062015
Börsen: Wiener Börse AG