Japan Airlines Co., Ltd. · TSE:9201
Japan Airlines — Q1 FY2026 Earnings Presentation
46 slides from Japan Airlines's earnings presentation, Aug 3, 2026
Slide 1: Financial Results 1st Quarter Mar/2027 (FY2026)
JAPAN AIRLINES Co.,Ltd. Financial Results 1st Quarter Mar/2027（FY2026） August 3, 2026 ©Japan Airlines, ALL rights reserved.
Slide 2: Performance Overview, Details of Financial Results, References
APEX SKYTRAX SKYTRAX Best Wi-Fi in Best Economy Class Airline World Airline Star WORLD CLASS Eastern Asia 2026 Seats 2025 Rating APEX" Best Premium Economy Class 5-Star Airline in Asia 2025 Yen Bond 1. PERFORMANCE OVERVIEW FOR FY26Q1 Bond of the Year 2. DETAILS OF FINANCIAL RESULTS FOR FY26Q1 3. REF
Slide 3: Performance Overview for FY2026Q1
Performance Overview for FY2026Q1 ✔ Despite demand shifts and soaring fuel costs driven by the escalating Middle East tensions, achieved a record-high revenue, by agile pricing strategies that captured high demand in Int’l flight and cargo, as well as unit price improvements in domestic flight ✔ Exc
Slide 4: Speaker notes: FY2026 Q1 overview and EBIT target
● Please take a look at the page 3 of our IR material. ● In the First Quarter of fiscal year 2026, our revenue reached a record-high 523.7 Billion Yen. This was achieved through flexible price pass-through that captured strong international passenger and cargo demand, and an improvement in the domes
Slide 5: FY2026Q1 Performance by business segment
FY2026Q1 Performance by business segment ✔ While FSC segment EBIT faced strong pressure from soaring fuel costs, non-aviation business such as Mileage/Finance and Commerce provided a stable revenue base, solidly supporting consolidated profitability. ✔ FSC and LCC segment EBIT turned profitable from
Slide 6: Speaker notes: performance of each business segment
● This page shows the performance of each business segment. ● Full-Service Carrier and LCC businesses experienced a heavy drag on their EBIT due to the rapid surge in fuel costs; however, non-aviation segments like Mileage/Finance and Commerce provided a stable income source, strongly supporting con
Slide 7: Performance Overview, Details of Financial Results, References
1. PERFORMANCE OVERVIEW FOR FY26Q1 2. DETAILS OF FINANCIAL RESULTS FOR FY26Q1 3. REFERENCES © Japan Airlines, All rights reserved. Highly Confidential. 5
Slide 8: Intentionally left blank
INTENTIONALLY LEFT BLANK © Japan Airlines, All rights reserved. Highly Confidential.
Slide 9: Details of financial results for FY2026Q1: Consolidated Financial Results
Details of financial results for FY2026Q1 Consolidated Financial Results Vs. FY25 (JPY Bn) FY25Q1 FY26Q1 Diff. y/y Revenue 471.0 523.7 +52.6 +11.2% Full Service Carrier 367.3 418.3 +51.0 +13.9% International PAX 184.9 211.6 +26.6 +14.4% Domestic PAX 134.2 139.0 +4.8 +3.6% Cargo / Mail 43.6 62.7 +19.
Slide 10: Speaker notes: consolidated results
● From this page, I will show you the details for the First Quarter of Fiscal Year 2026. ● Page 6 shows our consolidated results. ● Please go on to page 7 6-S
Slide 11: Changes in EBIT (Revenues/Expenses)
Details of financial results for FY2026Q1 Changes in EBIT (Revenues／Expenses) + stands for profit increase (revenue increase, cost decrease) RPK y/y ： ▼2.3% ▼ stands for profit decrease (revenue decrease, cost increase) ASK y/y ： ▼2.9% ▼32.8 Bn (JPY Bn) Other (Ground Handling, Travel, (1) Cargo and
Slide 12: Speaker notes: factors behind EBIT difference
● This page shows the factors behind the difference in EBIT from the previous year through revenue and expense. ● Revenues increased by 52.6 billion yen year-on-year as a result of the growth in each business segment. ● As for expenses, in addition to the rapid surge in fuel costs, personnel expense
Slide 13: Changes in EBIT (Market and other impact)
Details of financial results for FY2026Q1 Changes in EBIT (Market and other impact) FY25Q1 FY26Q1 y/y Singapore 81.4 182.5 +124.2% Kerosene(USD/bbl) Dubai Crude Oil(USD/bbl) 68.0 112.5 +65.4% (JPY Bn) FX Rate (JPY/USD) 145.3 159.0 +9.4% Impact from ▼32.8 Bn Currency Market ▼12.8 Bn + stands for prof
Slide 14: Speaker notes: market impacts on EBIT
● This page shows the EBIT difference by dividing it into market impacts and other factors from the previous year. ● As for market conditions, Singapore kerosene rose by about 101.0 USD, 124.2% increase from the previous year, while the yen depreciated from 145.3 yen last year to 159.0 yen. ● These
Slide 15: International Passenger Operations (Full Service Carrier)
Details of financial results for FY2026Q1 International Passenger Operations (Full Service Carrier) ✔ Despite the sharp increase in fuel costs, thoroughly drove the cost pass-through with agile price adjustment and revisions of fuel surcharge scheme ✔ Significant increase in unit price contributed t
Slide 16: Speaker notes: international passenger results
● This page shows the results of full-service carrier international passenger business. ● Regarding the international passenger business, although the number of passengers decreased by 0.4% from the previous year, both the unit price and Unit Revenue increased significantly, successfully achieving a
Slide 17: Domestic Passenger Operations (Full Service Carrier)
Details of financial results for FY2026Q1 Domestic Passenger Operations (Full Service Carrier) ✔ Looking ahead to the business structural reform, thoroughly drove the revenue management focusing in unit price ✔ Outperformed our planned unit price and achieved y/y revenue growth through fare increase
Slide 18: Speaker notes: domestic passenger results
● This page shows the results of full-service carrier domestic passenger business. ● Through revenue management focusing on unit price with looking ahead to the business structural reform, we successfully increased revenue. ● Although the number of passengers decreased by 2.7% from the previous year
Slide 19: Cargo
Details of financial results for FY2026Q1 Cargo ✔ Int’l Cargo: Achieved significant revenue growth by capturing strong demand between Asia and North America, alongside cost pass-through via fuel surcharge scheme revisions. In addition, expanded the freighter network by increasing large-size freighte
Slide 20: Speaker notes: cargo business
● This page shows the performance of our Cargo business. ● As for the international cargo business, revenue increased year-on-year by the expansion of the freighter network. By using our own cargo aircraft and chartered aircraft, we captured strong demand between Asia and North America. As a result,
Slide 21: LCC
Details of financial results for FY2026Q1 LCC ✔ ZIPAIR, achieved a significant increase in L/F and unit revenue, by enhancing customer experience through the installation of high-speed internet service “Starlink” across its entire fleet and the flexible price strategy responding to the market ✔ SPRI
Slide 22: Speaker notes: LCC business
● This page shows the performance of our LCC business. ● ZIPAIR has enhanced its product value by completing the installation of the high-speed internet "Starlink" across its entire fleet. By flexibly responding to market demand, it has achieved a high load factor and a significant improvement in Un
Slide 23: Mileage/Finance and Commerce
Details of financial results for FY2026Q1 Mileage/Finance and Commerce ✔ Achieving growth in mileage issuance and its income in the non-aviation domain, through the increase in JAL Card payment volume and enhancing global partnerships such as with Capital One. Forming a strategic partnership with Ma
Slide 24: Speaker notes: Mileage/Finance and Commerce and Other
● This page shows the performance of our Mileage/Finance and Commerce and Other Business. ● From this time, we will present the mileage issuance revenue in the non-aviation domains, the EBIT of the Mileage/Finance and Commerce business, and other key indicators. ● The number of issued miles in the n
Slide 25: Expenses
Details of financial results for FY2026Q1 Expenses Major Operating Expense Items Vs. FY25Q1 （JPY Bn） FY25Q1 FY26Q1 Diff. y/y Fuel 94.0 148.8 +54.8 +58.4% Landing and navigation fees 23.2 25.0 +1.7 +7.7% Maintenance 41.6 41.5 ▼0.0 ▼0.2% Sales commissions (Air Transport) 7.4 9.1 +1.7 +23.2% Services(1
Slide 26: Speaker notes: cost breakdown
● This page shows the breakdown of the cost. ● The total operating expenses increased by 81.3 billion yen year-on-year to 516.8 billion yen, due to the rapid surge in fuel costs and an increase in various expenses such as Aircraft and Personnel expenses. ● Since the increase in Unit Cost exceeded th
Slide 27: Fuel Costs
Details of financial results for FY2026Q1 Fuel Costs Changes in fuel costs Hedge Ratio (As of End of Jun./2026) Hedging （JPY Bn） and FX others Market +13.0 ▼24.3 +68.9 148.8 Volume 94.0 ▼2.8 +54.8 Bn (+58.4%) FY25Q1 FY26Q1 FY26 FY27 FY28 Fuel Hedging FX Hedging Foreign currency ❏ Hedging conducted f
Slide 28: Speaker notes: fuel cost and hedging
● This page shows our fuel cost and hedging. ● The fuel cost was 148.8 billion yen, increased by 54.8 billion yen year-on-year ● The upper right graph shows the current progress of hedging. ● Regarding fuel hedging, out of our total fuel consumption, we hedge the volume equivalent to domestic flight
Slide 29: Balance Sheet and Cash Flow
Details of financial results for FY2026Q1 Balance Sheet and Cash Flow ✔ Equity ratio stands at 42.9% and the Net D/E ratio is ▼0.1×, net cash maintained a BS healthy level CF ✔ Positive free cash flow maintained despite the increased growth investment （JPY Bn） Balance Sheet End of FY25 End of FY26Q1
Slide 30: Speaker notes: balance sheet and cash flow
● This page, I will explain our balance sheet and cash flow ● As of the end of June 2026, the equity ratio was 42.9% and the net D/E ratio was negative, which means we are cash rich. ● Our cash position at the end of June 2026 was 1 trillion 157.4 billion yen, enough for the existing hybrid repaymen
Slide 31: References
1. PERFORMANCE OVERVIEW FOR FY26Q1 2. DETAILS OF FINANCIAL RESULTS FOR FY26Q1 3. REFERENCES © Japan Airlines, All rights reserved. Highly Confidential. 17
Slide 32: Operation Performance by Geographic Segment
[Reference] Operation Performance by Geographic Segment Passenger Revenue Revenue Passengers Carried FY26Q1 (%） Vs. FY25Q1 ('000) FY26Q1 Vs. FY25Q1 Component Ratio America 43% +13.7% America 446 ▼3.0% Europe 17% +11.3% Europe 170 ▼10.2% Asia/Oceania 28% +15.3% Asia/Oceania 903 +2.0% China 6% +21.2%
Slide 33: Fleet Information
[Reference] Fleet Information End of FY25 (March 31, 2026) End of FY26Q1 (Jun. 30, 2026) Diff. Owned Leased Total Owned Leased Total Airbus A350-1000 10 1 11 10 1 11 0 Airbus A350-900 12 5 17 12 5 17 0 Large Boeing 777-300ER 9 0 9 9 0 9 0 Large-sized Total 31 6 37 31 6 37 0 Boeing 787-9 19 3 22 19 3
Slide 34: FY2026 Outlook | Details
[Reference] FY2026 Outlook | Details FY26Q1 FY26 (JPY Bn) Result y/y vs.FY25Q1 Forecast Revenue 523.7 +11.2% 2,095.0 Full Service Carrier 420.2 +13.8% 1,642.0 International PAX 211.6 +14.4% 778.0 Domestic PAX 139.0 +3.6% 619.0 Cargo and Mail 62.7 +43.7% 208.0 Other Revenue 6.7 +4.4% 37.0 LCC 32.4 +6
Slide 35: Average monthly profit impact due to the current Middle East situation
[Reference] Average monthly profit impact due to the current Middle East situation ✔ Although fuel costs increased beyond our plan due to the impact of rising oil market prices, mitigated the negative profit impact through our earning power, fuel subsidies, and fuel surcharges ＋は利益増（収入増・費用減） ▲は利益減（収
Slide 36: Speaker notes: impact of market conditions in first quarter
● This page shows the impact of market conditions for the first quarter alone. ● As a result of the first quarter monthly average of Singapore kerosene at 182.5 USD per barrel and the exchange rate at 159 yen to the dollar, fuel expenses increased by approximately 19.0 billion yen from the initial p
Slide 37: Impact on profit after FY26Q2 by Fuel and FX
[Reference] Impact on profit after FY26Q2 by Fuel and FX* (Incl. hedging and Fuel surcharges) Dubai 45USD 65USD 85USD 105USD Crude Fuel (JPY Bn) Prices (USD/bbl) Singapore 90USD 110USD 130USD 150USD Kerosene BASE 150JPY ±0.0 ▼13.5 ▼27.0 ▼40.0 155JPY FX ▼4.5 ▼16.5 ▼30.5 ▼45.0 (JPY/USD) 160JPY ▼6.0 ▼2
Slide 38: Speaker notes: market fluctuations from second quarter
● This page shows the impact of market fluctuations from the second quarter onwards. ● Hedges, fuel surcharges, and other factors reflect the latest values, while passenger demand and mitigation measures remain at the initial planned values. ● As explained on the previous page, we will continue to s
Slide 39: Results of Mid-term Management Plan (Segment & Demand structure)
[Reference] Results of Mid-term Management Plan(Segment & Demand structure) ✔ Through the promotion of business structure reforms, the portfolio and revenue structure have shifted toward resilience ✔ By shifting to a 60% ratio of inbound, building a "foreign currency earning structure" that absorbs
Slide 40: Speaker notes: Medium-Term Management Plan results
● This page shows the results of our Medium-Term Management Plan. ● Since the COVID-19 pandemic, by promoting business structural reform, we have built a portfolio and revenue structure that do not rely solely on the Full-Service Carrier business, developing a corporate structure with strong resilie
Slide 41: Mileage/Finance Business Model
[Reference] Mileage/Finance Business Model ✔ Built an asset-light, highly profitable business model, securing margins through the revenues from JAL Card payments and partner service usage, alongside optimal management of mileage redemption costs ✔ Established a resilient and stable revenue base powe
Slide 42: Speaker notes: Mileage/Finance business model
● This page shows the business model of the Mileage/Finance business.. ● It is an asset-light, highly profitable business model that secures margins through issuance revenue from JAL Card payments and partner service usage, along with the appropriate control of mileage redemption costs.. ● By provid
Slide 43: Mileage/Finance Business: Revenue Structure Logic Tree
[Reference] Mileage/Finance Business (Revenue Structure Logic Tree & Reflow into Aviation Income) ✔ Centering on in-house roll out of card business and stable high-value customers through “Mileage Lifestyle” program, expanding non-linear issuance by integrating daily payment, point exchange, and agi
Slide 44: Speaker notes: Mileage/Finance and Commerce indicators
● Lastly, I will explain the indicators related to the Mileage/Finance and Commerce business shown on page 13. ● Mileage revenue increases depending on the number of issued miles and its unit price. ● Regarding the number of issued miles, we aim to achieve a 10% annual increase in JAL Card transacti
Slide 45: Finance & Investor Relations, Japan Airlines
Finance & Investor Relations Japan Airlines © Japan Airlines, All rights reserved. Highly Confidential. 26 45
Slide 46: Disclaimer
Disclaimer This content contains descriptions of the future expectations, outlooks, objectives and plans etc. of Japan Airlines Co., Ltd. (hereafter "the company") and related Group companies (hereafter "the Group"). These are based on information available at the time when these materials were crea