Atlantic Airways’ result for Q2 2011 was significantly better than a year ago despite hiking fuel prices. The company has experienced a healthy sales improvement regarding block hours in the ACMI and charter segments. Additionally, the company has witnessed growth in terms of the load factor on scheduled services, and has furthermore improved its economic development regarding helicopter operations. In terms of comparison with the results of 2010, it is however also important to note the severe impact on operations that was caused by the Icelandic volcano Eyjafjallajøkull a year ago, which partly explains differences in results compared to the same period in 2010. There was another eruption in Iceland in Q2 this year which caused some delays, but it did not have a significant impact on operations like Eyjafjallajøkull in 2010.
The result for Q2 supports the overall result for the first half year of 2011, which has turned a considerable deficit into a healthy profit.
Atlantic Airways’ EBITDA result for the second quarter of 2011 amounted to DKK 22.9 million compared to DKK 11.0 million for the same period last year, which corresponds to an increase of 107%. The result before tax for the second quarter of 2011 was DKK 12.1 million compared to a loss of DKK 1.8 million in the same period last year, corresponding to a net improvement of DKK 13.9 million. Revenue increased 28% to DKK 118.8 million in the second quarter of 2011 from DKK 92.8 million last year.
EBITDA for the first half of 2011 was DKK 32.2 million compared to DKK 17.9 million for the first half of 2010, an increase of 80%. The result before tax for the first half of 2011 amounted to DKK 9.5 million compared to DKK -8.7 million in 2010.
“In a world of so much economic uncertainty, we remain both humble and jubilant over the good results we have achieved so far in 2011. It is a result based on combined efforts to improve business in different segments, improve utilization and reduce unit costs. We are also encouraged by the growth in sales of block hours as well as the positive trend in tourism traffic,” says Magni Arge, CEO of Atlantic Airways.
Atlantic Airways maintains its expectation of an improved result in 2011 compared to 2010, but the level of improvement will be dependent on factors that the company ultimately cannot control, such as fuel prices, the various effects of the ongoing global economic uncertainties and crisis situation in certain European regions.
For further information contact:
Magni Arge, CEO, tel. +298 213700, magni@atlantic.fo
Marius Davidsen, CFO, tel. +298 213703, marius@atlantic.fo
