Norwegian Air Shuttle Asa · OSL:NAS
Norwegian Air Shuttle Asa — Norwegian Air Shuttle New — Q4 2024 Earnings Presentation
24 slides from Norwegian Air Shuttle Asa's earnings presentation, Feb 13, 2025
Slide 1: Presentation of fourth quarter 2024
Presentation of fourth quarter 2024 13 February 2025
Slide 2: 2024 operating result (EBIT) NOK 1,873 million
2024 operating result (EBIT) Court rules in full favour for NOK 1,873 million EU ETS 2020 obligation ● full-year EBIT second highest in company ● Oslo District Court ruled in full favour with history Norwegian ● Q4 group EBIT negative NOK 93 million Preferred travel partner – entitled to fulfil obli
Slide 3: 6.2 million passengers in fourth quarter
Number of passengers in fourth quarter (group) 6.2 million (+32% YoY) Load factor 84.2% (-0.2 p.p.) 72.9% (+5 p.p.) (change YoY) Norwegian capacity (ASK) +19% Q4 2024 8.5bn (YoY) Q4 2023 7.1bn Q4 operating performance (Norwegian) Punctuality Regularity • challenging winter weather conditions • Ciriu
Slide 4: Delivering strong winter passenger growth
Delivering strong winter passenger growth 10 0.0% Norwegian Traffic – PAX per month, load factor and yield 95.0% 92.5% Capacity reduced in winter season 90.0 % 86.8% • matching capacity with seasonal variations in demand 4,000 85.8% 85.2% 1.20 • Nov.-Jan. capacity down 30%+ vs. prior months 83.2% 82
Slide 5: Widerøe passenger record for 2024
Widerøe passenger record for 2024 10 0.0% Widerøe Traffic – PAX per month and load factor 95.0% 90.0 % 85.0% 83.6% Q4 traffic performance • 995,000 passengers – up 13% YoY • Load factor increased to 73% 76.5% 80.0% 500 – improving load on both commercial and PSO networks 73.5% 73.7% 73.3% 71.7% 75.0
Slide 6: Norwegian – building on a successful New Year's campaign
Norwegian – building on a successful New Year’s campaign 7-day rolling sales figures (PAX) – All markets1) Booked revenue – Travel February to June2) 4,000,000,000 3,500,000,000 2019 3,000,000,000 2023 2,500,000,000 2024 2025 2,000,000,000 2024 1,500,000,000 2025 1,000,000,000 500,000,000 0 Oct-2024
Slide 7: Weakening NOK creating headwinds, but also opportunities
Weakening NOK creating headwinds, but also opportunities 2024 unit cost impacted by weakening NOK Increasing demand for Nordic holidays Norwegian NOK unit cost (CASK) ex. fuel X nflation cale efficiency initiatives Weakening NOK impacting OPEX Holidays impacted by currency and travel trends • cost f
Slide 8: Corporate travel – strong growth in 2024
Corporate travel – strong growth in 2024 Corporates choosing Norwegian Norwegian corporate passengers per year • Avinor reports 2024 corporate travel in Norway still below 2019 +15% – domestic corporate travel 11% below 2019, corporate travel abroad down 15%* +19% • from corporates we speak to: – 50
Slide 9: Accelerating Norwegian Reward through Spenn
Accelerating Norwegian Reward through Spenn Norwegian Reward – even better with Spenn Successful launch of Spenn Already 630,000 Spenn earners in the Nordics, with 4+ million transactions and 750 million Spenn earned Strong Spenn awareness $ - 33% in Norway Award winning loyalty program Spenn launch
Slide 10: Financial results for Q4 2024
Financial results for Q4 2024
Slide 11: Quarterly financial highlights
Quarterly financial highlights Revenue • group revenue increasing to NOK 8.2 billion – up 39% vs. last year – Widerøe contribution NOK 1.8 billion • Norwegian capacity up 19% – total unit revenue down 2% YoY following 10% increase in avg. stage length • Norwegian ancillary NOK 188 per pax – up from
Slide 12: Revenue development – Group with 39% growth YoY
Revenue development – Group with 39% growth YoY Quarterly total operating revenue (NOK million) Capacity, and PAX increase in quarter • Norwegian capacity (ASK) up 19% vs. Q4 2023 • load factor and yield marginally lower YoY with capacity increase and 10% longer avg. sector Other revenue with lower
Slide 13: Operating profit (EBIT) development
Operating profit (EBIT) development Quarterly EBIT (NOK million) Capacity increase and reduced other rev. • Non-recurring other revenue in Q4 2023 2 Weak NOK impacting costs and revaluations • unit cost excl. fuel NOK 0.53 – unchanged YoY • other losses/gains net loss NOK 197m in Q4 – revaluation to
Slide 14: Group P&L – impacted by currency translation effects
Group P&L – impacted by currency translation effects Q4 2024 Q4 2023 Chng. Full year Full year NOK million (Group) (Norwegian) (YoY) 2024 2023 Passenger revenue 6,916 4,582 29,621 20,617 Ancillary passenger revenue 1,016 816 4,561 3,700 Other revenue 300 519 → non-recurring revenues in Q4 2023 1,134
Slide 15: Robust balance sheet
Robust balance sheet 31 Dec. 30 Sep. Chng. NOK million Net interest-bearing debt 2024 2024 (QoQ) Intangible assets 2,429 2,618 31 Dec. 30 Sep. Chng. Tangible assets 19,403 18,452 +952 NOK million 2024 2024 (QoQ) Total non-current assets 22,346 21,503 Cash & equiv. 9,868 11,457 -1,589 Financial Inves
Slide 16: Cash flow in quarter
Cash flow in quarter Quarterly cash flow (NOK million) Bookings lower with expected seasonality ic et pre payment • seasonally lower bookings • working capital effect with normalised holdback perating activities excl Cash balance not inc. fixed-income 2 tic et pre payment fund investments placed dur
Slide 17: The way forward
norwegian «x The way forward
Slide 18: Aircraft arriving ahead of summer season
Aircraft arriving ahead of summer season Boeing delivering aircraft again Fleet estimate until 2026 • In January we received two new aircraft – took delivery of third aircraft yesterday – in 2024, Boeing delivered two new aircraft to Norwegian 94 - 96 ~ • fourth aircraft is expected ahead of the sum
Slide 19: Delivering sustainable profitability through Program 'X'
Delivering sustainable profitability through Program ‘X’ Current trading environment Program ‘X’ Macroeconomic factors Profitability program initiated • consumer confidence with robust demand • program launched in November – real-wage growth and falling interest rates • focusing on improvements in 2
Slide 20: Outlook & summary
Outlook & summary
Slide 21: Outlook
Outlook FY 2025 Q1 Q2 Q3 Q4 Capacity c. 4% c. 17% c. 2% c. 2% c. 0% growth1) FY 2023 FY 2025 Norwegian unit cost excl. fuel2) Single-digit % increase vs. 2024 $ 1) Available seat kilometres (ASK) vs. same period 2024 2) Assuming current foreign exchange rates 21
Slide 22: Fourth quarter performance; leading airline group in Nordics; well-positioned for 2025
Fourth quarter performance • significant capacity growth for Norwegian – Significant passenger growth for both Norwegian and Widerøe • unit cost flat YoY, while also impacted by FX • liquidity position NOK 10.9 billion • NOK 0.60 distribution proposal for 2024 – to be paid out as dividend or buy-bac
Slide 23: norwegian x
norwegian x
Slide 24: Disclaimer
Disclaimer Certain statements included in this presentation contain forward-looking statements, such as statements of future expectations. Although the statements provided are based on the best reasonable assumptions of management of Norwegian Air huttle A A “Norwegian” the statements are based on a
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