Wizz Air Holdings Plc · LSE:WIZZ
Wizz Air — Q3 F24 Earnings Presentation
16 slides from Wizz Air's earnings presentation, Jan 25, 2024
Slide 1: Wizz Air Holdings Plc Q3 F24 Results
WIZZ AIR HOLDINGS PLC Q3 F24 RESULTS 25 January 2024
Slide 2: Q3 F24 Highlights
Q3 F24 | HIGHLIGHTS Capacity ASKs +27% vs Q3 F23; record traffic of 15.1m pax (vs 12.4m Q3 F23), 60.3m pax in CY 2023 Load factor 87.6% (vs 87.3% Q3 F23), impacted by the latest Israel-Hamas war RASK €3.43c (-8.0% YoY), reflecting lower loads and suspension of Israel capacity (c.6% of total) CASK €4
Slide 3: Wizz Air Resilience Prevails
WIZZ AIR RESILIENCE PREVAILS PROACTIVE MANAGEMENT AHEAD OF CAPACITY REDUCTION Current headwinds … Proactive mitigants … Ongoing geopolitical disruption requires redeployment of Capacity successfully redeployed capacity Israel capacity suspended since October c.9% of ASK capacity redeployed as of 1 D
Slide 4: Key Business Metrics
Q3 F24 | KEY BUSINESS METRICS CONTINUED CAPACITY & TRAFFIC GROWTH IN Q3 versus (Q3 F23) Seats 17.3m (+22%) Passengers 15.1m (+22%) Aircraft* 195 (+18) Airports 194 (=) Bases** 32 (-2) Countries 54 (=) Employees 8,250 (+19%) CO2/ RPK 51.5g (-3.7g) emissions*** *end Dec 2023 **includes UA bases ***end
Slide 5: GTF Engine Update
GTF ENGINE UPDATE REMOVALS PROGRESSING AS EXPECTED Status update: Focused on: • 13 aircraft grounded as of 31 December • Maintaining safe operations • 33 aircraft grounded as of 24 January • Long-term growth continuity • Expect c.40 aircraft on ground by end of F24 • Short-term actions taken to miti
Slide 6: Financial Performance
Q3 F24 | FINANCIAL PERFORMANCE STRONG CAPACITY PRODUCTION, BUT EXTERNAL FACTORS IMPACT CONVERSION Q3 F24 Q3 F23 Change ASK growth +26.9% Revenue (€m) 1,064.8 911.7 16.8% Fuel costs (€m) (506.6) (490.6) 3.3% Load factor +0.3pp Non-fuel costs (€m) (738.6) (576.6) 28.1% Passenger +22.1% EBITDA (€m) 18.
Slide 7: Revenue Performance
Q3 F24 | REVENUE PERFORMANCE GTF REMOVALS AND THE LATEST ISRAEL-HAMAS WAR IMPACTED PERFORMANCE, ALTHOUGH ABILITY TO REDEPLOY CAPACITY HELPED TO OFFSET IMPACT RASK (€ cent) Q3 F24 Q3 F23 Change 3.73 ASKs 31,002m 24,422m 26.9% 3.43 RASK 3.43c 3.73c (8.0%) RASK Ticket 1.79c 1.90c (6.1%) 1.83 RASK Ancil
Slide 8: Unit Cost Performance
Q3 F24 | UNIT COST PERFORMANCE IMPROVEMENT DRIVEN BY FUEL COSTS, UTILIZATION AND PRODUCTIVITY CASK (€ cent) -8.9% CASK € cent Q3 F24 Q3 F23 Change 4.50 1.63 2.01 (18.6%) Fuel 4.10 Staff costs 0.41 0.41 1.0% 2.01 Maintenance, materials & repairs 0.22 0.22 1.9% 1.63 Airport, handling & en-route 0.97 0
Slide 9: Cash & Financial Position
Q3 F24 | CASH & FINANCIAL POSITION PROTECTING LIQUIDITY AHEAD OF AIRCRAFT GROUNDINGS In € billions 1.84 0.11 1.69 Seasonality and trading impact operating cash 1.64 1.53 0.10 0.14 Lower unflown revenue due to slower capacity growth 1.38 1.37 0.12 0.16 0.13 Repaid €500 million bond in January, 2024 +
Slide 10: Trading Update
Q3 F24 | TRADING UPDATE 1. Operational Performance 2. Fleet Update 3. Sustainability 10 PAGE 10
Slide 11: Operational Performance
Q3 F24 | OPERATIONAL PERFORMANCE MANAGING IMPROVED PUNCTUALITY AS CAPACITY GROWS YOY vs Q3 F23 Total fleet utilization in hours & minutes Flights 77,437 11.5 11.35 +18.8% 10.31 +10.1% • Operational utilization** 12:15h (vs 10:31h Q3 F23) Load factor 87.6% +0.3pp • 13x aircraft parked • Forward cance
Slide 12: Fleet Development
Q3 F24 | FLEET DEVELOPMENT GTF ENGINE INSPECTIONS – NO IMPACT TO LONG-TERM FLEET PLAN & GROWTH Security of Airbus orderbook (contractual positions) Key developments: 449 • Fleet size at 195 aircraft A321XLR A320neo 421 47 340 A321neo A320 • 9x A321NEO deliveries; 1x A320c redelivery 372 47 A321 • 13
Slide 13: Sustainability Leader
Q3 F24 | SUSTAINABILITY LEADER FURTHER IMPROVEMENT IN CO2/RPK EMISSIONS • Industry-leading low CO2/ RPK emissions at 51.5 grams in CY23. • Youngest fleet among European peers (4.2 years). • CAPA Global Environmental Sustainability Airline Group of the Year award for the second consecutive year (2022
Slide 14: Near-Term Outlook
NEAR-TERM OUTLOOK F24 Guidance Capacity growth (ASKs) H2 F24: c.20% YoY (Q4: >15% YoY); Load Factor F24: 90%+ RASK Full year mid-single digits higher YoY Ex-fuel CASK Full year mid-to-high-single digits lower YoY Net profit (F24) Maintaining guidance of €350 – €400 million F25 Capacity growth (ASKs)
Slide 15: Wizz | 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
Slide 16: Appendix: Hedge Coverage
APPENDIX: HEDGE COVERAGE* FUEL FX EURUSD EU/ UK ETS** 100% 62% 64% 58% 37% 36% 2% 3% F24 F25 F26 F24 F25 F26 F24 F25 3 months 12 months 3 months 3 months 12 months 3 months 3 months 9 months Weighted $914 / mt $854 / mt $838 / mt $1.11 $1.14 $1.14 average ceiling Weighted $797 / mt $747 / mt $728 /