Japan Airlines Co., Ltd. · TSE:9201
Japan Airlines — Q3 FY2014 Earnings Presentation
24 slides from Japan Airlines's earnings presentation, Jan 30, 2015
Slide 1: JAPAN AIRLINES Financial Results 3rd Quarter Mar/2015 (FY2014)
JAPAN AIRLINES Financial Results 3rd Quarter Mar / 2015 (FY2014) January 30, 2015 Norikazu Saito, Director, Senior Managing Executive Officer
Slide 2: Contents
Contents P.2 P.3 P.5 * HAC, Hokkaido Air System has been incorporated from the third quarter 1
Slide 3: Overview of 3rd Quarter FY3/15 Financial Results
Overview of 3rd Quarter FY3/15 Financial Results Operating Revenue Operating Profit Operating Profit （JPY Bn） Margin （JPY Bn） 1,050 1,022.3 140 19% 1,020 137.4 ＋0.7 Bn （＋0.5%） 138.2 989.9 （＋32.4 Bn） 990 ＋3.3% 16% 960 135 13% 930 13.9% 13.5% 900 3Q FY3/14 3Q FY3/15 130 10% 3Q FY3/14 3Q FY3/15 Fuel /
Slide 4: Revised Consolidated Financial Forecast for FY3/15
Revised Consolidated Financial Forecast for FY3/15 Upward Revision of Operating Profit Forecast Upward Revision of Net Income Revised our Forecast based on the result of 3rd quarter. Net income to be 139.0 Billion with 4.0 billion increase Operating Profit 167.0 Billion, Operating Profit Margi
Slide 5: Dividend Forecast for FY3/15
Dividend Forecast for FY3/15 Dividend Forecast Enhancement for Shareholders return Dividend per share for FY3/15 Appx. 20% of Consolidated Net Income for the fiscal 97.00JPY year excluding Income （Forecast） Tax-Deferred Forecast for FY3/15(E) Dividened Calculation FY3/14(A) Announcement on New Forec
Slide 6: Consolidated Financial Results
Consolidated Financial Results Consolidated Financial Results 3rd Quarter FY3/15 3rd Quarter Revenue: (JPY Bn) 3Q FY3/14 3Q FY3/15 y/y y/y (Oct-Dec) (1) 1,022.3Bn JPY, Revenue 989.9 1,022.3 +3.3% 338.6 +2.4% y/y +3.3% Air Transportation Segment 883.6 909.9 +3.0% 300.6 +2.1% Operating Expense 852.4
Slide 7: Changes in Operating Profit
Changes in Operating Profit 3Q FY3/15 （Unit:JPY Bn） +0.7 Bn (+0.5%) Impact From Currency Market ▲11.0Bn ASK y/y： +0.2% Revenue ＋6.1Bn RPK y/y： +1.6% Cost ▲17.1Bn Sales of Expenses of Fuel ▲11.8Bn travel travel Agency, Agency, Ex. Fuel ▲5.3Bn Incidental Incidental Other Business(※) Business(※) Cargo
Slide 8: International Passenger Operations (Operating Results)
International Passenger Operations (Operating Results) International Passenger 3rd Quarter International Passenger 3Q FY3/14 3Q FY3/15 y/y y/y (Jul-Sep) (1) Revenue: Passenger JPY 345.9 Bn Revenue 331.3 345.9 +4.4% 112.0 +2.7% (JPY Bn) y/y +4.4% ASK (MN seat km) 34,842 35,946 +3.2% 11,957 +1.7%
Slide 9: International Passenger Operations (Change in Revenue)
International Passenger Operations (Change in Revenue) 3Q 3QFY3/2015 FY3/15 （Bn JPY） +14.6 Bn(+4.4%) Expansion of SKY SUITE 777/767/787 345.9 Improved Load Factor and Unit +2.1 price +12.5 Strong Demand for inbound Strong Demand for inbound 331.3 passengers passengers - Weak Yen - Passenger Mi
Slide 10: Domestic Passenger Operations (Operating Results)
Domestic Passenger Operations (Operating Results) Domestic Passenger 3rd Quarter 3Q FY3/14 3Q FY3/15(1) y/y (Oct-Dec) y/y Domestic Passenger (1)(2) Revenue: Passenger 373.0 Bn JPY, y/y ▲0.5% Revenue 374.9 373.0 ▲0.5% 124.8 +1.3% (JPY Bn) As ASK was ▲3.4% year ASK (MN seat km) 28,413 27,458 ▲3.4%
Slide 11: Domestic Passenger Operations (Change in Revenue)
Domestic Passenger Operations (Change in Revenue) 3Q FY3/2015 （JPY Bn） Change in customer mix ▲1.8Bn ・Increase of the percentage of passengers (▲0.5%) using promotional fares such as “Tokubin 374.9 Discount 21” 373.0 ▲5.3 Implementation of various +3.5 measures ・ Launching of JAL SKY NEXT ・Exten
Slide 12: Major Operating Expense Items
Major Operating Expense Items Operating Expenses 3Q 3rd Quarter (JPY Bn) 3Q FY3/14 difference % y/y difference Fuel costs increased by FY3/15(1) (Oct-Dec) 1) ( 10.7 billion yen. Fuel 212.3 223.0 +10.7 +5.1% 71.6 +0.4 Aircraft Lease is reduced Landing fees 60.8 61.3 +0.5 +0.8% 20.4 +0.3 by 4.1 Bn
Slide 13: Impact from Fuel and FX Markets
Impact from Fuel and FX Markets Hedging Ratio for Fuel Costs Transition of Fuel Cost by its factors (As of End of 3Q FY3/15) (JPY Bn) 2,400 240 100% Approx. 240 85% 約85% Approx. FUEL FX 80% 約75% 75% Volume 2,300 230 3Q FX Market increase / Hedging etc FY3/15 60% Approx. 2,200 220 40% 約40% 3Q +11.8 ▲
Slide 14: Major Balance Sheet Items
Major Balance Sheet Items Consolidated Balance Sheet Summary as of End of 3rd Quarter FY3/15 End of 3rd The balance of interest- End of FY3/14 (JPY Bn) Qurater FY3/15 difference bearing debt is reduced 2014/3/31 2014/12/31 by 29.2 Bn JPY to 104.9 Bn JPY after repayment Total Assets 1,340.1 1,437.0
Slide 15: FY3/15 Earnings Forecast (Consolidated)
FY3/15 Earnings Forecast (Consolidated) FY3/15 FY3/15 FY3/15 FY3/14 FY3/15 Prev. Forecast Prev. Forecast (JPY Bn) Results New difference New As of As of Forecast Forecast 31,Oct,2014 31,Oct,2014 Revenue 1,309.3 1,342.0 1,340.0 +2.0 ASK Int’l 103.4 103.7 Operating Doms 98.0 98.4 Expense 1,142.5 1,175
Slide 16: Contact: Finance, Japan Airlines
Contact: Finance, Japan Airlines +81-3-5460-3068
Slide 17: Supplemental Reference: Major Cash Flow Items
《Supplemental Reference》 Major Cash Flow Items (JPY Bn) 3Q FY3/14 3Q FY3/15 Difference Net income before income taxes and minority interests 136.1 136.8 +0.7 Depreciation 61.9 64.7 +2.8 Other ▲14.4 ▲17.1 ▲2.7 Cash Flow from Operating Activities 183.6 184.4 +0.7 Capital Expenditure (1) ▲97.1 ▲164.4 ▲
Slide 18: Supplemental Reference: Revenue of International Routes by Geographical Segment
《Supplemental Reference》 Revenue of International Routes by Geographical segment Passenger Revenue (% of the whole int’l revenue) Passengers 3Q FY3/15 3Q FY3/15 (%) 3Q FY3/14 3Q FY3/15 Y/Y Y/Y (‘000) 3Q FY3/14 3Q FY3/15 Y/Y Y/Y (Oct-Dec) (Oct-Dec) Trans Pacific 34.0% 36.5% +2.5pt 36.0% +2.5pt Trans
Slide 19: Supplemental Reference: Number of Aircraft in Service
《Supplemental Reference》 Number of Aircraft in Service End of Mar/2014 End of Dec/2015 Changes Owned Leased Total Owned Leased Total Boeing 777-200 15 0 15 13 0 13 ▲2 Boeing 777-200ER 11 0 11 11 0 11 - Boeing 777-300 7 0 7 7 0 7 - Boeing 777-300ER 13 0 13 13 0 13 - Large-sized Total 46 0 46 44 0 44
Slide 20: Supplemental Reference: FY3/15 Earnings Forecast (Balance Sheets / Cash Flow)
《Supplemental Reference》 FY3/15 Earnings Forecast (Consolidated Balance Sheets / Cash Flow) Consolidated Balance Sheet FY3/15 Prv. Forecast (JPY Bn) End of FY3/14 Result FY3/15 New Forecast Difference (Oct 31,2014) Total Assets 1,340.1 1,461.0 1,461.0 +0 Interest-bearing Debt 134.2 99.0 101.0 ▲2.0 S
Slide 21: Supplemental Reference: FY3/15 Earnings Forecast (Air Transportation Segment)
《Supplemental Reference》 FY3/15 Earnings Forecast（ Air transportation Segment ） International Domestic y/y (%) 1st to 3rd 1st to 3rd 4th Quarter FY3/15 4th Quarter FY3/15 (Exclude Load Quarter Quarter (Forecast) (Forecast) (Forecast) (Forecast) Factor) (Result) (Result) ASK +3.2% +4.2% +3.4% ▲3.4% +
Slide 22: Supplemental Reference: Flight Frequency and Fleet Plans for FY3/16
《Supplemental Reference》 JAL Group Announces Flight Frequency and Fleet Plans for FY3/16 Release : Jan 21, 2015 Newly established / Flight Frequency Increase (1) March 20,2015 to March 28,2015 Rou te Eff e c tive Pe riod Re vise d poin ts Aircraft Deparutre and Arrival Time JL060 Kansai 15:20- Los A
Slide 23: Supplemental Reference: Flight Frequency and Fleet Plans for FY3/16
《Supplemental Reference》 Flight Frequency and Fleet Plans for FY3/16 Domestic Network Continuation of Seas on Operations Route Details Effec tiv e Period Itami = Matsumoto 1 daily flight August 1 ~ August 31 Itami = Memanbetsu 1 daily flight July 18 ~ July 20、July 25 ~ August 31 Sapporo (New Chitose
Slide 24: This contents contains descriptions of the future expectations, outlooks, objectives and plans etc. of
This contents 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 created by the