Air France-klm Sa · EURONEXT:AF
Air France-klm Sa — Investor Presentation (April 2025)
25 slides from Air France-klm Sa's investor presentation, Apr 2, 2025
Slide 1: Corporate Presentation 2025
CORPORATE PRESENTATION 2025
Slide 2: Our purpose aligns business strategy with sustainable customer expectations
OUR PURPOSE ALIGNS BUSINESS STRATEGY WITH SUSTAINABLE CUSTOMER EXPECTATIONS FOR A BETTER TOMORROW “At the forefront of a more responsible European aviation, we unite people for the world of tomorrow” 2
Slide 3: Our people build our future and our success
OUR PEOPLE BUILD OUR FUTURE AND OUR SUCCESS We are thankful for the commitment of all our staff and for the trust of our customers and shareholders. They are an integral part of our success. 3
Slide 4: Air France-KLM Executive Committee
AIR FRANCE-KLM EXECUTIVE COMMITTEE Air France-KLM KLM President and Air France-KLM Air France-KLM Air France-KLM Air-France CEO CEO CEO CFO CCO EVP Marketing1 Air France-KLM Air France-KLM Air France-KLM Air France-KLM Air France-KLM EVP E&M EVP Cargo EVP Strategy & EVP IT Corporate Secretary Transf
Slide 5: Our renewed strategic ambition
OUR RENEWED STRATEGIC AMBITION Our foundations Our strategic roadmap STRONG ASSETS Improve market position and strengthen business models TO LEVERAGE + Boost profitability to join Europe’s frontrunners RESTORED BALANCE SHEET Maximise customer satisfaction and enhance brand value POST-COVID Increase
Slide 6: Our strengths support our businesses and enable us to deliver on strategy
OUR STRENGTHS SUPPORT OUR BUSINESSES AND ENABLE US TO DELIVER ON AIR FRANCE-KLM STRATEGY 78,000 Three Powerful Networks Sustainable Passionate and Powerful Brands Partnerships Extensive and Initiatives and Professional People Complementary Commitments 6
Slide 7: Key figures in 2024
KEY FIGURES IN 2024 2 hubs 98 million 564 aircraft €489m Net Result passengers in operation transported 3 main activities 27+ million 320+ destinations Passenger transport Flying Blue In 100+ countries Cargo loyalty program members Aircraft Maintenance 7
Slide 8: A comprehensive portfolio of three recognized brands
A COMPREHENSIVE PORTFOLIO OF THREE RECOGNIZED BRANDS, WITH UNIQUE IDENTITIES AND POSITIONING Showcasing the Best of Pioneering global We Make Low Cost France Around the World aviation since 1919 Feel Good A SHARED DNA OF CUSTOMER CENTRICITY 8
Slide 9: Each brand addresses a well-defined and complementary market segment
EACH BRAND ADRESSES A WELL-DEFINED AND COMPLEMENTARY MARKET SEGMENT, IN LINE WITH PASSENGER DEMAND UNIQUE BRAND PORTFOLIO Paris Global Gateway LONG- HAUL Amsterdam as Global Hub Connection to Paris and hub feeding SHORT & MEDIUM- Hub feeding and corporate point-to-point traffic HAUL Hybrid leisure a
Slide 10: Keeps upgrading its products
KEEPS UPGRADING ITS PRODUCTS Along the journey experience Cabin experience Onboard services Lounge upgrades High-speed Wi-Fi New First-class cabins • Catering in 2025 • Comfort In-flight entertainment • Design New Business class system cabins Partner services • Luggage door-to-door New Premium class
Slide 11: Full focus on further enhancing customer experience
FULL FOCUS ON FURTHER ENHANCING CUSTOMER EXPERIENCE Invest in Recover Further strengthen Invest for the future products and services operational stability Schiphol Hub 11
Slide 12: Is expanding its offer and continues to grow
IS EXPANDING ITS OFFER AND CONTINUES TO GROW Leisure Corporate Strengthen leadership on Mediterranean Address corporate demand from Paris-Orly destinations, develop winter network Flying Blue earning and burning Transavia Holidays, to increase leisure wallet share MAX fare, dedicated product to Busi
Slide 13: One of the world's most extensive and diversified networks
TOGETHER, AIR FRANCE, KLM AND TRANSAVIA OFFER TRAVELLERS ONE OF THE WORLD'S MOST EXTENSIVE AND DIVERSIFIED NETWORKS from CDG from ORY 190 Air France destinations from CDG 160 KLM destinations from AMS from AMS from AMS 150 Transavia destinations from ORY and AMS 13
Slide 14: Air France-KLM E&M is a key asset for the group
AS A PROFITABLE WORLD-LEADING MULTI-PRODUCT MRO PROVIDER, AIR FRANCE-KLM E&M IS A KEY ASSET FOR THE GROUP in 2024 3,000 12,800 aircraft supported employees 200+ €8.7bn customer airlines order book (31/12/24) €5.1bn €2.1bn total revenues external revenues 14
Slide 15: Air France-KLM Cargo remains a strong player
AIR FRANCE-KLM CARGO REMAINS A STRONG PLAYER IN A RAPIDLY CHANGING MARKET in 2024 #2 and #3 120+ direct European Union intercontinental Cargo Hubs connections €2.4bn 911,000 traffic revenues freight tons Almost 80% of initial 3,200 employees bookings online 15
Slide 16: Flying Blue is a leading European loyalty program
FLYING BLUE IS A LEADING EUROPEAN LOYALTY PROGRAM The loyalty program of the group’s airlines… … Featuring more than 40 airline partners… including … and an extensive network of non-airline partners European loyalty program with highest 100+ commercial partners number of co-branded card partners wit
Slide 17: Air France-KLM continues its transformation efforts
AIR FRANCE-KLM CONTINUES ITS TRANSFORMATION EFFORTS Actioning key levers… …through ambitious roadmap… …to achieve structural benefits1 Simplification 700+ Initiatives & Projects €4.4bn Synergies €3.0bn €2.1bn Revenues Across initiatives ALL Business Units Cost Savings 2019 2022 2024 2026 1) Structur
Slide 18: A successful trajectory towards more sustainable growth
WE HAVE EMBARKED ON A SUCCESSFUL TRAJECTORY TOWARDS A MORE SUSTAINABLE GROWTH Optimized the basics Stabilized social relations A simplified & optimized operating model Our key values: Trust, Respect, Transparency, Confidentiality Sustainability Ongoing transformation Achievements & commitments A suc
Slide 19: Major levers to reach emission reduction targets by 2030
MAJOR LEVERS TO REACH AIR FRANCE-KLM’S EMISSION REDUCTION TARGETS BY 2030 2030 Fleet renewal Sustainable Aviation Fuel Operational measures -30% CO2 / RTK (vs ‘19) 19
Slide 20: Our fleet renewal strategy delivers strong contribution to environmental roadmap
OUR FLEET RENEWAL STRATEGY DELIVERS STRONG CONTRIBUTION TO OUR ENVIRONMENTAL ROADMAP A220 family firm orders for: A320neo family firm orders for: A350 family firm orders for: CO2 emissions1 -20% -15% -25% NOX emissions1 between -30% and -40% Noise1 between -34% and -50% Up to Up to Up to % of new ge
Slide 21: Fully committed to SAF, with ambition of 10% by 2030
AIR FRANCE-KLM IS FULLY COMMITTED TO SAF, WITH THE AMBITION OF INCORPORATING 10% OF SAF BY 2030 SAF / eSAF incorporation trajectory set by the European RefuelEU regulation (flights departing from Europe) 80% 70% 60% 50% 40% 30% 20% 10% 0% 2030 2035 2050 eSAF SAF 21
Slide 22: SAF sourcing initiatives to reach 2030 target
AIR FRANCE-KLM SOURCING INITIATIVES TO REACH 2030 SAF TARGET KEEPING FLEXIBILITY IN VOLUMES TO MATCH OUR DEMAND Air France KLM possible offtakes – Key SAF Projects start-up date Air France – KLM sourcing strategy 0.3 Mton Biofuel, MoU up Grandpuits starts to 2030 1.5 Mton Biofuel, MoU for 10 years o
Slide 23: Greater efficiency and commercial measures to support decarbonization
GREATER EFFICIENCY IN OUR OPERATIONS AND ADDITIONAL COMMERCIAL MEASURES CAN BE LEVERAGED TO SUPPORT OUR DECARBONIZATION TRAJECTORY Main levers currently identified OPERATIONAL COMMERCIAL • Eco-piloting & speed flying • Load factor (potential network impact) • Aircraft performance improvement (mainte
Slide 24: Key messages
KEY MESSAGES Airlines Network Fleet Customers KEY BUSINESS & FINANCIAL TAKEAWAYS Boost our profitability Above 8% operating margin by 2026-2028 An ambitious transformation roadmap Accelerate transformation efforts across all businesses to deliver sustained results €4.4bn structural benefits by 2026
Slide 25: Main awards
MAIN AWARDS pointme PICKS pee R cst ane WORLDCLASS" ewar au 2024 esee P AIRFRANCE 4 @ transavia KLM Flyingblue.. SS 2 AIRFRANCEKLM 25 GROUP