International Consolidated Airlines Group Sa · LSE:IAG
International Consolidated Airlines Group Sa — Q1 2024 Earnings Presentation
21 slides from International Consolidated Airlines Group Sa's earnings presentation, May 2024
Slide 1: Connecting people, businesses and countries
Connecting people, businesses and countries 2024 Quarter One results 1
Slide 2: Disclaimer
Disclaimer LEI: 959800TZHQRUSH1ESL13 Forward-looking statements: Certain statements included in this document and any related conference call or webcast (including any related Q&A session) are forward-looking. These statements can be identified by the fact that they do not relate only to historical
Slide 3: Highlights
Highlights Luis Gallego Chief Executive Officer 2024 Quarter One results
Slide 4: Strong demand in a very good first quarter; well-positioned for the summer
Q1 2024 Summary Strong demand in a very good first quarter; well-positioned for the summer • Strong demand, higher revenue, increased unit revenue and increased operating profit in Q1 • Investing in our network development – 7% capacity growth focused in our core markets • Investing in our businesse
Slide 5: Financial results
Financial results Nicholas Cadbury Chief Financial Officer 2024 Quarter One results 5
Slide 6: Operating profit bridges
Q1 2024 Financial results Operating profit bridges IAG Operating profit bridge (€m) IAG Operating profit bridge by business (€m) +59 +59 (40) (40) (4) 68 591 (11) 12 591 (1) (459) 39 (31) 68 9 4 9 9 9 Q1-23 Passenger Cargo Other Non-fuel Fuel Currency Q1-24 Q1-23 BA IB VY EI IAG Other Q1-24 revenue
Slide 7: Our key metrics
Q1 2024 Financial results Our key metrics ASKs 76,684m Activity +7.0% vLY Total revenue Total pax revenue PRASK Load factor €6,429m €5,632m €7.34c 83.1% Commercial +9.2% vLY +11.7% vLY +4.4% vLY +1.6pts vLY performance Total expenditure CASK Fuel CASK Non-fuel CASK Airline non-fuel €6,361m €8.30c €2
Slide 8: Good performance across all operating companies
Q1 2024 Financial results Good performance across all operating companies Q1 2024 Q1 2024 Q1 2024 Q1 2024 Q1 2024 vLY vLY vLY vLY vLY (€m) (£m) (€m) (€m) (£m) Total revenue 386 +7.6% 3,160 +3.9% 1,586 +8.2% 591 +12.9% 359 +43.3% Passenger revenue 372 +9.3% 2,791 +4.8% 1,201 +13.9% 587 +13.0% 283 +74
Slide 9: Strong trading in Q1 2024
Q1 2024 Financial results Strong trading in Q1 2024 North Atlantic Europe ASKs +0.6% ASKs +9.0% PRASK +6.5% PRASK +5.7% Total Domestic Asia Pacific ASKs +7.0% ASKs +6.5% ASKs +43.4% PRASK +4.4% PRASK +6.9% PRASK (12.6)% Latin America & Caribbean Africa & Middle East & S. Asia ASKs +14.4% ASKs +0.4%
Slide 10: Loss after tax and exceptional items of €4m in Q1 2024
Q1 2024 Financial results Loss after tax and exceptional items of €4m in Q1 2024 Three months to March 31 Before Before Statutory Exceptional Statutory Exceptional €m exceptional items exceptional items 2024 items 2023 items 2024 2023 Revenue 6,429 - 6,429 5,889 - 5,889 Operating costs 6,361 - 6,361
Slide 11: Continuing balance sheet strengthening
Q1 2024 Financial results Continuing balance sheet strengthening €m 31 Mar 2023 31 Dec 2023 31 Mar 2024 Gross debt 19,767 16,082 16,164 Bank and other loans 6,461 2,688 2,683 Asset financed and lease liabilities 13,306 13,394 13,481 Cash, cash equivalents and interest-bearing deposits 11,369 6,837 8
Slide 12: Business update and outlook
Business update and outlook Luis Gallego Chief Executive Officer 2024 Quarter One results 12
Slide 13: Continuing to invest in our businesses
Q1 2024 Business update Continuing to invest in our businesses • Continue strengthening North Atlantic network leadership from Ireland. North Atlantic network will grow to 21 routes with the restart of Minneapolis in April and launch of Denver in May. Broadening the short-haul network and increasing
Slide 14: Outlook
Q1 2024 Outlook • We expect positive long-term, sustainable demand for travel • Well-positioned for the summer • Planned capacity growth for FY 2024 remains at c.+7% ASKs • Non-fuel unit cost continues to be expected to increase slightly for the full year as we continue to invest in the business • C
Slide 15: Appendices
Appendices 15
Slide 16: Fuel hedging - c.70% for the remainder of 2024
Q1 2024 Financial results Fuel hedging - c.70% for the remainder of 2024 Q2 2024 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Jet fuel price scenario $875/mt $855/mt $860/mt $850/mt $830/mt $820/mt $/€ scenario 1.086 1.086 1.086 1.086 1.086 1.086 Hedge ratio 75% 71% 64% 48% 40% 33% Effective blended pric
Slide 17: FY 2024 capacity planned to be c.7% higher than 2023 level
Business update and outlook FY 2024 capacity planned to be c.7% higher than 2023 level ASKs Q2 2024 FY 2024 vs 2023 vs 2023 +7% +9% +7% +8% IAG growth vs 2023 +3% +3% +7% +6% Airlines’ +19% +14% contributions +34% +25% +3% +3% Q1 Q2 Q3 Q4 +9% +7% Note: British Airways includes BA CityFlyer and BA Eu
Slide 18: Group performance
Group performance Quarter Q1 2024 Q1 2023 vLY Q1 2024 traffic and capacity statistics vs 2023 Group performance P assengers carried ('0 0 0 s) 2 6 ,3 6 1 2 4 ,2 7 9 +8 .6 % North Atlantic 2,569 2,456 +4.6% Latin America & Caribbean 1,785 1,569 +13.8% Europe 13,436 12,092 +11.1% Domestic (UK & Spain
Slide 19: Group performance by airline
Q1 2024 traffic and capacity statistics vs 2023 Performance by airline Quarter Group performance by airline Q1 2024 Q1 2023 vLY Passengers carried ('000s) 2,104 1,995 +5.5% Revenue passenger km (m) 4,614 4,436 +4.0% Available seat km (m) 6,163 5,927 +4.0% Passenger load factor (%) 74.9 74.8 +0.1 pt
Slide 20: Alternative Performance Measures (APMs) and Financial terminology definitions
Alternative Performance Measures (APMs) and Financial terminology definitions Measure IFRS/APM Definition Source of calculation Operating profit (and other Income statement APM See Q1 2024 Interim Management Statement (alternative performance measures Q1 2024 Interim Management Statement (Reconcilia
Slide 21: Connecting people, businesses and countries
Connecting people, businesses and countries 2024 Quarter One results 21
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