Japan Airlines Co., Ltd. · TSE:9201
Japan Airlines — Q1 FY2018 Earnings Presentation
23 slides from Japan Airlines's earnings presentation, Jul 31, 2018
Slide 1: Financial Results 1st Quarter Mar/2019 (FY2018)
JAPAN AIRLINES Co., Ltd. 日本航空株式会社 Financial Results 2019年3月期第1四半期 1st Quarter Mar/2019（FY2018） 決算説明会 10 November 2017 14 November 2017 International Friendly Match International Friendly Match vs Brazil National Team vs Belgium National Team July 31, 2018
Slide 2: Today's Topics
Today’s Topics P.1 P.2 P.10 ※JAL Corporate Website ※The Award for Passenger Service System Project
Slide 3: Overview of Financial Results for 1st Quarter Mar/19
Overview of Financial Results for 1st Quarter Mar/19 Resulted in an increase in both revenue and operating profit year-on-year while progressing capacity expansion A new international mid & long-haul low-cost carrier will be established (Disclosed on May 14, 2018, Its preparatory company has bee
Slide 4: Consolidated Financial Results
Consolidated Financial Results Consolidated Financial Results 1ST QUARTER Mar/19 1st Quarter 1st Quarter （JPY Bn） Diff. y/y Mar/18 Mar/19 Operating Revenue 314.8 342.1 ＋27.2 ＋8.7% Air Transportation Segment 285.8 313.0 ＋27.1 ＋9.5% Operating Expense 290.0 317.1 ＋27.1 ＋9.3% Air Transportation Segment
Slide 5: Changes in Operating Profit (Revenues / Expenses)
Changes in Operating Profit（ Revenues ／ Expenses ） 1st Quarter Mar/19 （ JPY Bn ） ＋ stands for profit increase (revenue increase, cost reduction) ▲ stands for profit decrease (revenue decrease, cost increase) ASK y/y ： +5.0% ＋0.1Bn RPK y/y ： +6.3% (＋0.7%) Other Revenues Fuel Cargo & Mail ＋3.7 Domesti
Slide 6: Changes in Operating Profit (Market / Others)
Changes in Operating Profit（ Market ／ Others ） 1st Quarter Mar/19 ＋ stands for profit increase (revenue increase, cost reduction) （ JPY Bn ） ▲ stands for profit decrease (revenue decrease, cost increase) +0.1Bn Impact from (+0.7%) Currency Market +2.4Bn Revenue +0.3Bn Cost +2.1Bn (Excl. Market Impac
Slide 7: International Passenger Operations
International Passenger Operations International Passenger Change in Revenue （ JPY Bn ） 1st Quarter 1st Quarter y/y ＋19.2Bn Mar/18 Mar/19 (＋18.2%) Passenger Revenue(1) 105.5 124.8 +18.2% 124.8 (JPY Bn) (123.4) (+16.9%) +10.8 Passengers (’000) 2,038 2,251 +10.5% 105.5 ＋8.4 ・Stable Outbound Demand(＋)
Slide 8: Domestic Passenger Operations
Domestic Passenger Operations Domestic Passenger Change in Revenue 1st Quarter 1st Quarter （ JPY Bn ） y/y Mar/18 Mar/19 ＋1.1Bn Passenger Revenue(1) 117.2 +1.0% (JPY Bn) 116.1 (118.6) (+2.2%) (＋1.0%) Passengers (’000) 8,070 8,297 +2.8% ・Increase in individual ASK 8,820 8,962 +1.6% passengers(＋) 117.2
Slide 9: Major Operating Expense Items
Major Operating Expense Items Operating Expenses 1st Quarter 1st Quarter (JPY Bn) Diff. y/y Mar/18 Mar/19 Fuel 50.3 60.3 +10.0 +20.0% Landing and navigation fees 20.1 21.2 +1.1 +5.5% Maintenance 17.8 18.5 +0.7 +4.2% Sales commissions (Air Transport) 4.0 4.7 +0.6 +16.9% Aircraft (1) 26.1 27.4 +1.2 +4
Slide 10: Impact of Fuel and FX Markets
Impact of Fuel and FX Markets Hedge Ratio for Fuel Costs Transition of Fuel Cost by Factors (As of end of June 2018) (JPY Bn) 100% Volume FUEL FX 80 Market increase/ 80% +14.1 FX Hedging 60 60.3 ▲1.4 ▲2.7 50.3 60% Approx. Approx. 40% 40% 40 40% ＋10.0Bn Approx. Approx. 20 (＋20.0%) 20% 15% 15% Approx.
Slide 11: Major Balance Sheet Items and Cash Flow Items
Major Balance Sheet Items and Cash Flow Items End of Balance Sheet End of Mar/18 1st Quarter Diff. （JPY Bn） Mar/19 Total Assets (1) 1,853.9 1,878.6 +24.6 Cash and Deposits (2) 448.8 420.6 ▲28.1 Balance of Interest-bearing Debt (3) 125.7 121.7 ▲4.0 1 Total Assets amount as of the end of March, 2018 h
Slide 12: Revenue of International Routes by Geographic Segment
《 Reference 》 Revenue of International Routes by Geographic Segment Passenger Revenue Revenue Passengers Carried y/y Component Ratio (‘000) 1Q Mar/18 1Q Mar/19 y/y (%) 1Q Mar/19 1Q Mar/18 1Q Mar/19 America 312 330 +5.9% America +9.9% 28% 26% Europe 182 182 +0.0% Europe +20.8% 16% 17% Asia/Oceania 98
Slide 13: Reference: Number of Aircraft
《Reference》 Number of Aircraft End of Mar/18 End of 1st quarter Mar/19 (March 31, 2018) (June 30, 2018) Diff. Owned Leased Total Owned Leased Total Boeing 777-200 12 0 12 12 0 12 - Boeing 777-200ER 11 0 11 11 0 11 - Boeing 777-300 4 0 4 4 0 4 - Boeing 777-300ER 13 0 13 13 0 13 - Large-sized Total 40
Slide 14: Reference: FY2018 Earnings Forecast
《Reference》 FY2018 Earnings Forecast ※No change from the figures disclosed on April 27, 2018 Revenue and Expenditure Plan Operational Preconditions・Dividend FY2018 FY2017 FY2018(Plan) （JPY Bn） FY2017 Diff. y/y ※y/y (Plan) Int’l +2.4% +6.8% Operating Revenue 1,383.2 1,455.0 +71.7 +5.2% International
Slide 15: Reference: FY2018 Earnings Forecast
《Reference》 FY2018 Earnings Forecast ※No change from the figures disclosed on April 27, 2018 Balance Sheet End of End of （JPY Bn） Diff. FY2017 FY2018 (Plan) Total Assets (1) 1,853.9 1,933.0 +79.0 Balance of Interest-bearing 125.7 164.0 +38.2 debts (2) 1 Total Assets amount as of the end of FY2017 ha
Slide 16: Intentionally Left Blank
2 JAPAN AIRLINES INTENTIONALLY LEFT BLANK
Slide 17: Reference: Financial Strategy and Capital Policy 1
《Reference》 Financial Strategy and Capital Policy① ※Originally disclosed on February 28, 2018 15
Slide 18: Reference: Financial Strategy and Capital Policy 2
《Reference》 Financial Strategy and Capital Policy② ※Originally disclosed on February 28, 2018 *1 Free cash flow (3-year aggregate)=Cash flow from operating activities-Cash flow from investing activities *3 Indicates dividend yield of shareholders’ equity *2 3-year aggregate new debts used (new procu
Slide 19: Reference: Financial Strategy and Capital Policy 3
《Reference》 Financial Strategy and Capital Policy③ ※Originally disclosed on February 28, 2018 17
Slide 20: Reference: Innovation of Passenger Service System
《Reference》 Innovation of Passenger Service System ※Originally disclosed on February 28, 2018 18
Slide 21: ESG Environmental Social Governance
ESG ※Originally disclosed on April 27, 2018 ※Updated 2017 CO2 emissions data Environmental Social Governance Low-Carbon Initiatives ： ・High transparency and strict Introduce fuel-efficient aircraft and ・Further promote workstyle innovation: management oversight： aim for eco-friendly operation Reduce
Slide 22: Fly into tomorrow.
Fly into tomorrow. Finance & Investor Relations, Japan Airlines
Slide 23: 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