Thai Airways International Public Co. Ltd. · SET:THAI
Thai Airways International Public — Thai Airways International PCL — Q3 2015 Earnings Presentation
20 slides from Thai Airways International Public's earnings presentation, Nov 19, 2015
Slide 1: Q3-2015 analysts briefing
THAI AIRWAYS INTERNATIONAL PCL Q3-2015 analysts briefing 19-Nov-2015 1
Slide 2: Disclaimer
DISCLAIMER The information contained herein is intended to represent the Company’s operating and financial position at a given point in time and may also contain forward looking information which only reflects expectations based on the prevailing geo-political, economic and non-controllable factors.
Slide 3: Our current fleet
Our current fleet (As of September 2015) 95 Aircraft Aircraft Type No. of Seat Seat Configuration 38 Long-Range Aircraft 6 of A380-800 507 12F/60C/435Y 12 of B747-400 375 10F/40C/325Y 14 of B777-300ER 348 42C/306Y 6 of B777-200ER 292 30C/262Y 37 Medium-Range Aircraft 6 of B777-300 364 34C/330Y 8 of
Slide 4: Transformation Plan
TRANSFORMATION PLAN 4
Slide 5: Transformation plan
Transformation plan Route & Network Fleet Portfolio Rationalization Transformation Plan Organization Commercial Operations & Cost Control 5
Slide 6: Transformation plan
Transformation plan - Stop LAX & Route - Resume LHR , FRA - Network NMS in progress - New 6 planes - Fixed asset disposal - GroundFleet 14 planes - Portfolio Investment disposal - 7Rationalization planes Sold , - BU synergy 8 signed Transformation Plan - NMS in progress - Org structure - New interne
Slide 7: Financial Performance
FINANCIAL PERFORMANCE 7
Slide 8: Operations summary
Operations summary improving passenger measures with drop in cargo Q3 9M % % 2014 2015 Change 2014 2015 Change Unit YoY YoY Passenger Production MASK 20,439 20,275 -0.8 61,262 62,422 +1.9 Passenger Traffic MRPK 14,253 15,089 +3.9 41,826 45,619 +9.1 Cabin Factor % 71.1 74.4 +3.4 68.3 73.1 +4.8 Passen
Slide 9: 3rd Quarter Performance
3rd Quarter Performance Profit Before Tax +922 MB -8,870 MB Operations Special items Operations -4,239 MB -4,631 MB Special items -5,237 MB 6,159 MB Special items : Q3-2014 Special items : Q3-2015 • FX +7,379 MB • FX -4,532 MB • Impair : -1,220 MB • Impair : -99 MB 9
Slide 10: 9-Month Performance
9-Month Performance Profit Before Tax -9,365 MB -19,145 MB Operations -4,536 MB Operations -16,224 MB Special items Special items -14,609 MB 6,859 MB Special items : 9M-2014 Special items : 9M-2015 • FX +9,378 MB • FX +1,443 MB • Impair : -2,519 MB • Impair : -12,330 MB As per Reform plan • MSP : -3
Slide 11: Total Revenue
Total Revenue yields drop from lower fuel surcharge and intense competition Passenger Cargo Other BTHB BTHB 100 100 90 90 8.6 9.8 80 80 17.5 13.7 70 70 113.5 114.2 60 60 50 50 3.0 2.5 40 5.4 40 5.4 30 38.0 38 30 20 20 10 10 0 0 Q3 ‘14 Q3 ‘15 9M ‘14 9M ‘15 11
Slide 12: Total Expense
Total Expense decline y-o-y mainly on fuel, hoping to see better expense control Non-fuel Fuel and oil BTHB BTHB 120.0 120.0 151.6 100.0 100.0 138.1 59.0 45.8 80.0 80.0 60.0 60.0 50.2 92.6 92.3 47.2 40.0 19.5 40.0 16.4 30.7 30.8 20.0 20.0 0.0 0.0 Q3 ‘ 14 Q3 ‘ 15 9M ‘14 9M ’15 12
Slide 13: Currency break down
Currency break down Foreign Currency Exposure Long term loan outstanding (Jan - Sep 2015) (After Swap) USD 7% Expense THB Revenue 35% THB CNY 38% 1% THB OTHER OTHER EUR JPY AUD 6% 32% EUR 4% 2% 2% 45% 27% JPY 18% AUD 5% Total = THB 180bn CNY 6% JPY EUR USD Outstanding St + Lt loan 8% 9% 7% (After Sw
Slide 14: Passenger yield
Passenger yield THB/RPK 2.90 2.80 2.70 Y2014 2.60 2.50 Y2015 2.40 2.30 2.20 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 14
Slide 15: Passenger Yield Analysis
Passenger Yield Analysis 9M'14 9M'15 %Change (THB/RPK) (9M'15 Rate) Pax Rev 2.56 2.46 (3.9) FX impact 0.11 - Total Pax Yield 2.67 2.46 (7.9) Passenger Yield by Region 9M'14 9M'15 %Change (THB/RPK) Domestic 3.35 2.98 (11.0) Regional 3.08 2.82 (8.4) Intercontinental 2.24 2.03 (9.4) Total System 2.67 2
Slide 16: Fuel management
Fuel management high level of hedge from last year commitment Monthly fuel hedging as % of consumption by month 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Jul-13 Jul-14 Jul-15 Jul-16 Sep-13 Nov-13 Sep-14 Nov-14 Sep-15 Nov-15 Sep-16 Nov-16 Mar-13 May-13 Mar-14 May-14 Mar-15 May-15 Mar-16 May-16 Jan-
Slide 17: Internet Sales
Internet Sales improving 2 years running but still behind industry % of Sales 16 14 12 10 8 6 4 2 0 Jan Feb Mar A pr May Jun Jul A ug Sep Oct Nov Dec 2013 2014 2015 17
Slide 18: FAA EASA Update
y ~& FAA EASA UPDATE y ~m
Slide 19: THAI Safety Beyond Compliance Plan
THAI Safety Beyond Compliance Plan FAA First Audit FAA Audit under Review EASA Audit FAA FAA EASA 17 27 12-13 JULY AUG SEP OCT NOV DEC 19
Slide 20: Q&A Thank You
y ~& Q&A THANK YOU
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