Positive Cash Flow in the second quarter despite limited activity
Significant reduction of losses
AEGEAN announces the financial and operating results for the second quarter and the first half of the year.
The restrictive measures in force until mid-May continued to weigh heavily on Group’s activity and results. However, the efforts to adjust flight operations within these restrictions in conjunction with cost management and gradual flight activity re-start towards the end of the quarter contributed to positive cash flows and the reduction in total losses in the second quarter of the year.
During the second quarter, Group’s activity remained at low levels, i.e. 35% of 2019 activity in ASK’s, being although significantly higher relative to 2020. More specifically, the Group operated more than 15,000 flights and carried 1,2 mil. passengers.
Consolidated revenue during the second quarter stood at €108,6 mil, 168,8% higher compared to 2020. Net losses after tax came to €33,9 mil., reduced from losses of €73,4 mil. in the second quarter of 2020.
Following the second quarter, consolidated revenue in the first half of the year stood at €152,8 mil, 18,4% lower while net losses after tax stood at €78,4 mil. from €158,8 mil. recorded in the first half of 2020.
Cash flow from operations in the second quarter was positive for the first time since the pandemic outbreak in March 2020, mainly due to the increase of tickets pre-sales for the summer. Cash and cash equivalent stood at €545,7 mil. on 30.06.2021, including the €60 mil. share capital increase completion but not including the EU approved State Aid which was received in early July 2021 (second half of the year).
Mr. Dimitris Gerogiannis, AEGEAN’s CEO, commented:
“Since late May, following the easing of travel restrictions, air traffic showed signs of significant recovery. We achieved for the first-time positive cash flows for the quarter, after 18 months and got on track for a summer season closer to normal. The recovery in travel demand evidenced in the third quarter, especially towards Greece and our increased activity from several bases to important source markets, yielded a significant gain in passengers in July and August reaching 2.3 mil. passengers, as we have already announced a few days ago. We are moving forward with our investments in fleet, product and training, while being mindful of the significant challenges remaining ahead due to the pandemic”.
Consolidated Results
in € mil. | 1st quarter 2020 | 1st quarter 2021 | % | 2nd quarter 2020 | 2nd quarter 2021 | % | 1st half 2020 | 1st half 2021 | % |
Revenue | 147,0 | 44,3 | -69,9% | 40,4 | 108,6 | 168,8% | 187,4 | 152,8 | -18,4% |
EBITDA[1] | (34,1) | (14,0) | - | (15,5) | 3,9 | - | (49,6) | (10,1) | - |
Pre-tax profit/(losses) for the period | (112,3) | (56,9) | - | (88,5) | (34,8) | - | (200,8) | (91,8) | - |
Net profit/ (losses) for the period | (85,4) | (44,5) | - | (73,4) | (33,9) | - | (158,8) | (78,4) | - |
Passenger traffic
1st quarter 2020 | 1st quarter 2021 | % | 2nd quarter 2020 | 2nd quarter 2021 | % | 1st half 2020 | 1st half 2021 | % | |
Passengers (,000) | 2.135 | 460 | -78,5% | 328 | 1.190 | 262,8% | 2.463 | 1.650 | -33,0% |
Flights | 18.752 | 7.883 | -58% | 5.681 | 15.022 | 164% | 24.433 | 22.905 | -6,3% |
Load Factor (RPK/ASK) | 76,0% | 47,5% | -28,5pp | 50,8% | 55,8% | 5,0pp | 72,5% | 53,1% | -19,5pp |
Key Performance Indicators are posted on the company’s website http://en.about.aegeanair.com/investor-relations/financial-results/financial-results/
AEGEAN management will host a conference call to present and discuss First Half 2021 Financial Results on Monday, 20th September 2021 at 16:30 Athens time / 14:30 UK time. Please refer to company’s website for details.
[1] EBITDA: Earnings (Losses) before interest, tax, depreciation & amortization