Norse Atlantic Asa · OSL:NORSE
Norse Atlantic Asa — Norse Atlantic Airways — Q2 2023 Earnings Presentation
14 slides from Norse Atlantic Asa's earnings presentation, Aug 31, 2023
Slide 1: Norse Atlantic Airways Q2 2023 Presentation
» Norse Atlantic Airways Q2 2023 Presentation 31 August 2023
Slide 2: Highlights
Highlights • Gradually increased activity through Q2 2023, all aircrafts in production from 1ˢᵗ of July Activity increasing • Several new routes and destinations opened and new routes added • All flights operated through summer 2023, zero cancellations Low-cost confirmed • Ramping up activity while
Slide 3: Challenges and Opportunities
Challenges and Opportunities Cargo market • Cargo market disappoints with low volumes and price pressure • Rapid growth is capital intensive, increased bank guarantees and restricted cash plus Cash management hold-back from credit card companies • Aiming to gradually decrease as company and operatio
Slide 4: Increased Sales – Decreased CASK
Increased Sales – Decreased CASK Passengers and Load Factor Per Month CASK (Ex Fuel) per Quarter + July 2023 8 160,000 90% 7.11 80% 7 140,000 5.87 70% 6 120,000 60% 100,000 5 50% 80,000 4 3.2 40% 60,000 3 30% 40,000 2 20% 20,000 10% 1 0 0% 0 Jan-23 Feb-23 Mar-23 Apr-23 May-23 Jun-23 Jul-23 Q1 2023 Q
Slide 5: Ancillary sales are increasing
Ancillary sales are increasing Ancillary Revenue Per Passenger $ $160 • Steady increase in ancillary revenue • Norse’s fare model provides pricing flexibility to $140 $138 passengers $120 ⚬ Passengers pay for what they choose, enabling Norse $120 $46 to maximize revenue $33 $100 • Ancillary revenue
Slide 6: Financials Q2 2023
= Q2 2023 | : Financials
Slide 7: Income Statement
Income Statement Large increase in capacity and revenue during summer season ramp-up 3 months 3 months 3 months 12 months USD thousands Q2 2023 Q1 2023 Q4 2022 FY 2022 Revenue 100,101 39,757 46,428 104,269 • Q2 2023 revenue up 152% versus prior Personnel expenses 23,590 19,353 17,434 44,462 quarter
Slide 8: Balance Sheet
Balance Sheet Statement of financial position • $911 million aircraft right-of-use asset USD thousands 30 Jun-23 31 Mar-23 31 Dec-22 ⚬ 15 Boeing 787 Dreamliners on leases with average remaining life 10.6 years Non-current assets 949,429 952,148 973,037 ⚬ Corresponding lease liability of $971 milli
Slide 9: Cash Flow Statement
Cash Flow Statement 3 months 3 months 3 months 12 months USD thousands Q2 2023 Q1 2023 Q4 2022 FY 2022 • Q2 2023 total cash increase of $17 million mainly driven by $19 million inflow from Operating cash flows 18,996 (20,771) (13,264) (68,639) operations Investing cash flows (1,357) 1,256 7,921 (24
Slide 10: Key Operational Numbers Since First Flight
Key Operational Numbers Since First Flight 14 June 2022 to 31 Jul 2023 Jun22 Jul22 Aug22 Sep22 Oct22 Nov22 Dec22 Jan23 Feb23 Mar23 Apr23 May23 Jun23 Jul23 Number of aircraft 11 13 13 13 14 14 15 15 15 15 15 15 15 15 in fleet Aircraft subleased 2 4 4 4 4 4 5 5 5 5 5 5 5 5 out ASK (millions) 54 248 50
Slide 11: Summary
Summary
Slide 12: Summary and Outlook
Summary and Outlook Building a profitable long-haul low-cost transatlantic airline Strategy and business • Low and decreasing unit costs (CASK) case validated • High load factors with increasing fare levels Increased activity • All 15 aircrafts in the fleet operative and generating revenue • Strong
Slide 13: Norse will be...
Norse will be... The first truly low-cost sustainable transatlantic airline The lowest unit cost airline amongst peers The highest ancillary revenue per passenger in the industry The lowest emissions per passenger versus long-haul peers The most affordable and best value transatlantic product 13
Slide 14: Contact
Contact: Investors: investor.relations@flynorse.com Media: media@flynorse.com
Norse Atlantic Airways — Q2 2023 Earnings Presentation on 6ix