Deutsche Lufthansa Ag · XETR:LHA
Deutsche Lufthansa — Non-Deal Roadshow (November 2011)
25 slides from Deutsche Lufthansa's roadshow presentation, November 2011
Slide 1: US Roadshow
US Roadshow Stephan Gemkow Member of the Executive Board and CFO Frankfurt/Main, November 2011 0
Slide 2: Contents
Contents Q1-Q3 2011 Group Financials Q1-Q3 2011 Business Segments Performance Current Trading & Outlook 1
Slide 3: Key figures of the Lufthansa Group January – September 2011
Key figures of the Lufthansa Group January – September 2011 in m EUR Q1-Q3 2011 vs. PY Revenue 22,138 +9.6% -thereof traffic revenue 18,410 +11.9% Operating result 578 -5.6% Adj. operating margin 3.0% -0.5 PP EBIT 564 -41.1% Net profit 288 -45.0% Operating cash flow 2,193 -9.6% in m EUR Capital expe
Slide 4: Development of Group revenue
Development of Group revenue January – September 2011 in m EUR Price Currency +953 -247 Volume 18,410 +1,259 16,445 Traffic revenue (+11.9%) 3,748 3,728 Other revenue (-0.5%) 20,193 Group revenue (+9.6%) 22,138 Q1-Q3 2010 Q1-Q3 2011 3
Slide 5: Development of operating expenses
Development of operating expenses January – September 2011 Q1-Q3 2011 Change in m EUR in % Cost of materials 12,912 12.8% Staff costs 5,072 5.2% Depreciation & 1,263 1.9% amortisation Other operating expenses 4,035 1.6% Total 23,282 8.4% +5.2% excl. fuel 4
Slide 6: Development of fuel expenses
Development of fuel expenses January – September 2011 in m EUR Price Hedging +1,539 -616 Currency -312 4,772 Volume +302 3,859 +913 m EUR (+23.7%) Fuel costs Q1-Q3 2010 Fuel costs Q1-Q3 2011 5
Slide 7: Profit from operating activities and operating result
Profit from operating activities and operating result January – September 2011 in m EUR Q1-Q3 2011 Q1-Q3 2010 vs. PY Profit from operating activities 649 869 -220 Net book result assets / financial investments -7 -243 +236 - thereof aircraft disposals -33 -32 -1 Valuation from non-current borrowings
Slide 8: EBIT, EBITDA and net result of the Group
EBIT, EBITDA and net result of the Group January – September 2011 in m EUR Q1-Q3 2011 Q1-Q3 2010 vs. PY Profit from operating activities 649 869 -220 Income from subsidiaries, joint ventures and associates +62 +71 -9 Other financial items -147 +17 -164 - thereof changes in present value of hedging o
Slide 9: Cash flow statement
Cash flow statement January – September 2011 in m EUR Q1-Q3 2011 Q1-Q3 2010 vs. PY EBT (earnings before income taxes) 350 707 -357 Depreciation and amortisation 1,277 1,229 +48 Result from fixed asset disposal -36 -192 +156 Income from subsidiaries, joint ventures and associates -62 -71 +9 Interest
Slide 10: Contents
Contents Q1-Q3 2011 Group Financials Q1-Q3 2011 Business Segments Performance Current Trading & Outlook 9
Slide 11: Key figures of the business segments
Key figures of the business segments January – September 2011 Passenger in m EUR Airline Group Logistics MRO IT Services Catering Revenue 17,314 2,220 3,048 436 1,710 vs. PY in % +12.0 +10.2 +2.2 -0.5 +2.2 Op. result 169 173 198 12 56 vs. PY in % -22.5 -24.8 -6.2 0.0 +12.0 EBITDA 1,263 242 302 38 10
Slide 12: Key figures of the airlines in the Passenger Airline Group
Key figures of the airlines in the Passenger Airline Group January – September 2011 in m EUR Lufthansa SWISS Austrian Airlines bmi germanwings Revenue 11,703 2,957 1,549 658 530 vs. PY in % +14.2 +15.7 +0.7 -5.5 +9.1 Op. result 161 244 -34 -154 -23 vs. PY in % +1.9 +25.8 +27.7 -71.1 -109.1 EBITDA 87
Slide 13: Development of the traffic regions
Development of the traffic regions Passenger Airline Group January – September 2011 Americas Europe Asia / Pacific ASK +10.2% ASK +10.0% ASK +12.9% RPK +8.2% RPK +9.2% RPK +7.7% SLF -1.5PP SLF -0.5PP SLF -4.0PP Yield per RPK +5.5% Yield per RPK +4.0% Yield per RPK +3.9% Traffic revenue +14.2% Traffi
Slide 14: Sales and revenue are still well above pre-crisis level
Sales and revenue are still well above pre-crisis level In the 3rd quarter year-on-year volume growth slowed down +18.0% Sales development, like-for-like, (Lufthansa and SWISS) RPK (m) +12.4% +7.7% 50.000 50,000 2008 +8.7% +13.0% 2009 45.000 45,000 2010 40,000 40.000 +9.1% 2011 35,000 35.000 RPK (m)
Slide 15: Passenger Business: Balanced regional and customer portfolio
Passenger Business: Balanced regional and customer portfolio High exposure to long-haul markets and various production sectors Highly diversified network Strong corporate exposure across all sectors > 50% of traffic revenue from long-haul routes > 50% of corporate customers from production industrie
Slide 16: Climb 2011 program improves profitability in European traffic
Climb 2011 program improves profitability in European traffic Visible impact on unit costs and yield Climb 2011 Fleet Structure Staff Administration Suppliers Income & Capacities productivity Unit cost (p. ASK) short-haul vs. PY Yield (p. RPK) short-haul vs. PY 6.8% 5.5% -0.7% -2.5% -2.8% -3.7% -5.5
Slide 17: Contents
Contents Q1-Q3 2011 Group Financials Q1-Q3 2011 Business Segments Performance Current Trading & Outlook 16
Slide 18: Current trading and booking outlook
Current trading and booking outlook High volatility in development of bookings Jan. – Sep. 2011 10.0% 9.2% 8.6% 10.8% Change vs. PY 7.3% 12.3% 6.0% 9.5% 8.4% -0.5PP -2.6PP -1.8PP Passagiere ASK RPK SLF Fracht/Post TKO RTK CLF Passagiere ASK RPK SLF Europe Intercontinental LH Cargo Measures for unit
Slide 19: High flexibility is the key in volatile times
High flexibility is the key in volatile times Example: Lufthansa Cargo’s last crisis and recovery management 2008 2009 2010 40% Year on year change of Logistics ton-km sales 30% 20% Operating results (quarterly, in mill.€) 10% 109 86 80 47 35 4 29 0% -72 -62 -66 -10% full fleet reactivated -20% 3rd
Slide 20: Flexible capacity management continues
Flexible capacity management continues Winter ‘11 and FY ‘12 passenger capacity growth significantly reduced Winter-timetable 2011/12 – FY 2012 – Passenger Airline Group Lufthansa Passenger Airlines +12 % -8 PP +9 % -6 PP +4% +3% Before adjustment Current growth Before adjustment Current growth afte
Slide 21: Fuel outlook and hedging
Fuel outlook and hedging Expected fuel expense still 6.4 bn EUR Oil price scenarios of Lufthansa Group Expected fuel expenses and sensitivities Fuel expense LH Group (in bn EUR after hedging) 130 6.7 (+5%) 8 133 USD/bbl (+20%) LH price 2012 6.6 (+2%) 120 7 122USD/bbl (+10%) 6.4 6.2 (-2%) 110 6 100 U
Slide 22: A modern fleet limits another burden on the industry
A modern fleet limits another burden on the industry Airlines to be included in European ETS from 2012 Development of ETS prices Cost scenarios for ETS March 2008 – August 2011 28 € m EUR 450 9.50 € 400 350 300 2008 2009 2010 2011 250 ETS hedging follows established structural approach 200 150 Amoun
Slide 23: Outlook for Group
Outlook for Group Development of operating result Outlook 2011: in m EUR Operating profit in the upper three-digit million Euro range 1500 1,378 1,280 Quantification not possible due to 1250 current market volatility Claim for leading position in terms of 1000 profitability remains 876 845 Financial
Slide 24: Dividend policy is embedded in our financial strategy
Dividend policy is embedded in our financial strategy Our dividend policy • Dividends are linked to operating result • Net profit of Deutsche Lufthansa AG (German GAAP/HGB) must allow for dividend payment • In this framework we seek continuity (30-40% payout ratio of operating result) • Additional p
Slide 25: Disclaimer in respect of forward-looking statements
Disclaimer in respect of forward-looking statements Information published in this presentation with regard to the future development of the Lufthansa Group and its subsidiaries consists purely of forecasts and assessments and not of definitive historical facts. These forward-looking statements are b
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