Wizz Air Holdings Plc · LSE:WIZZ
Wizz Air — Q1 FY18 Earnings Presentation
19 slides from Wizz Air's earnings presentation, 2017
Slide 1: Q1 FY18 Results
Q1 FY18 RESULTS
Slide 2: Business Highlights
Q1 F18| Business Highlights 1 25% passenger growth to 7.2m passengers 2 Network expansion with London-Luton base, new destinations 3 Secured 10 additional new Airbus A321 CEO aircraft 4 Total revenue up 28.6% with RASK up 3.4% 5 Net profit 50.4% higher year-on-year to €58m 6 Customer friendly enhanc
Slide 3: #1 LCC in CEE
Q1 F18| #1 LCC in CEE Q1 | Growth Metrics Passengers 7.2m +25.2% Aircraft 83 +13 1411 Airports +17 Countries 421 +4 Bases 28 +3 Staff 3,000+ +400 Source: Company information as at 30 June 2017 Note 1: On sale 3
Slide 4: Performance Metrics
Q1 F18| Performance Metrics 41,381 Flights +18.2% 13.1 hours Utilisation +0.1% 91.2% Load factor +1.69ppt 99.9% Regularity +0.01ppt Punctuality 79.9%1 +0.04ppt Source: Company information Note 1: Departure +15min 4
Slide 5: Fleet Evolution Driving Costs Lower
WIZZ | Fleet Evolution Driving Costs Lower 5
Slide 6: Record Profitability on 25% Pax Growth
Q1 F18| Record Profitability on 25% Pax Growth Group Results Q1 FY18 Q1 FY17 Change Seat + 22.9 % Revenue € 469.3 m 364.9 +28.6% Growth EBITDAR € 155.9 m 108.4 +43.8% Stage + 1.3 % Length EBITDAR margin 33.2 % 29.7% +3.5ppt ASK Net profit € 58.1 m 38.62 +50.4% + 24.5 % Growth Net profit margin 12.4
Slide 7: Revenue Growth
Q1 F18| Revenue Growth Revenue Development 1,571 Positive effects (€m) 1,429 Easter effect 1,227 656 Higher load factors 534 1,012 Larger aircraft 433 851 766 353 Flying further 274 214 41.7% 589 37.4% 165 34.9% 35.3% 32.2% 469 916 27.9% 365 28.1% 794 895 204 659 153 552 577 43.5% 41.9% 424 265 212
Slide 8: Growing Ancillary Revenues
WIZZ | Growing Ancillary Revenues Ancillary Revenue + €1.8Per pax Growing Value-Add Fees 30+ revenues streams €28.8 €26.4 Improved conversion continues More leisure routes 16.2 18.7 Four year decline in bag fees Changing customer profiles Passenger flying more frequently 10.2 9.5 Increased popularit
Slide 9: Cost Discipline
Q1 F18| Cost Discipline CASK and ex-fuel CASK development 1 Opportunities € cents 3.88 Game changers 3.74 3.72 3.62 3.51 3.42 - Larger aircraft 3.15 3.16 3.23 - Fuel efficiencies 1.58 1.49 1.48 1.36 1.19 1.15 0.93 Improving ownership costs 0.90 0.93 Economies of Scale Challenges 2.32 2.25 2.29 2.25
Slide 10: Ultra Low Cost Carrier
Q1 F18| Ultra Low Cost Carrier Q1 F18 CASK 1 CASK € cent Q1 F18 Q1 F17 Change € cent Fuel CASK Fuel 0.93 0.93 - 0.93 cent Staff costs 0.27 0.27 - Distribution & marketing 0.07 0.07 - Ex-Fuel CASK Maintenance, materials 2.29 cent 0.22 0.21 0.01 and repairs Depreciation & 0.19 0.11 0.08 Q1 F18 Q1 F17
Slide 11: Balance Sheet Strength
WIZZ | Balance Sheet Strength FREE CASH +28.9% €m Strong cash generation Benefiting from robust lease market Leverage Aircraft ownership – driving cost even lower 1.5x Q1 F17: 1.4x Low leverage level Audited financial statements. Note 1: Cash and Cash Equivalents (€m) Note 2: Leverage is defined as
Slide 12: Capacity Growth Across the Board
WIZZ | Capacity Growth Across the Board Source: Company Information. Note: New capacity on sale compared to the first quarter of F17 12
Slide 13: Customer Focused Improvements – Baggage
WIZZ | Customer Focused Improvements – Baggage Why change policy? Adapting to changes in customer profiles Paying for cabin bags is not industry standard No more fees for hand luggage Size of free hand luggage increased by 50% New Priority product features Refinements to Checked-in bag offering 13
Slide 14: Technological Advancements
WIZZ| Technological Advancements Note: Last twelve months 14
Slide 15: Enhancing Leadership Capacity
WIZZ| Enhancing Leadership Capacity 1 Executive Vice President, Deputy CEO Stephen Jones 2 Chief Financial Officer Iain Wetherall 3 Chief Technical Officer Heiko Holm
Slide 16: FY 2018 Net Profit Guidance
WIZZ | FY 2018 Net Profit Guidance Guidance Capacity growth (ASKs) +23% Average stage length Modest increase Load Factor +1% Fuel CASK +3% Ex-fuel CASK Broadly flat Total CASK +1% Revenue per ASK Slight increase Effective tax rate 6% Net profit Top end of €250 – €270 million 16
Slide 17: Summary
WIZZ | Summary 1 25% passenger growth to 7.2m passengers 2 Network expansion with London-Luton base, new destinations 3 Secured 10 additional new Airbus A321 CEO aircraft 4 Total revenue up 28.6% with RASK up 3.4% 5 Net profit 50.4% higher year-on-year to €58m 6 Customer friendly enhancements to our
Slide 18: wizzair.com
wizzair.com
Slide 19: Disclaimer
WIZZ | Disclaimer This presentation has been prepared by Wizz Air Holdings Plc (the “Company”). By receiving this presentation and/or attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations. This presentation is