Aegean announced Second Quarter and First Half 2023 financial results

ATHENS – Aegean announces its financial and operating results for the second quarter and the first half of the year. Consolidated revenue reached 449,1 m. euros in Q2-23, 37% higher than Q2-22. Pre-tax Profit reached 67,3 m. euros and Net Income 51,5 m. euros from Net Income of 10,8 m. euros in Q2-22.

The Group offered 22% more seats following its network expansion, bringing an even higher increase of 28% in passenger traffic and welcoming 4,1 mil. passengers from 3,2 mil. in Q2-22. Load factor reached 82,6% from 79,2% in Q2-22. Network expansion with the addition of 16 new international routes, as well as increased frequencies to destinations in Italy, Spain, Germany, Scandinavia, Israel, Egypt and Saudi Arabia, markets where demand has recovered significantly, contributed to the Group’s strong performance.

More specifically, strong demand in Q2-23, network expansion and ongoing fleet investment, led to a 42% increase in passenger traffic in H1-23 vs H1-22, with the Group carrying 6,7 mil. passengers in total in H1-23, while offering 8,2 mil. available seats, 28% more compared with H1-22.

The growth in passenger traffic stemmed mainly from international network where the Group carried 4 mil. passengers, 52% more than H1-22. Load factor in the period improved significantly, reaching 82,2%, 7,6 p.p. higher than H1-22.

With the positive impact of the second quarter, Consolidated revenue in H1-23 improved by 51% vs Q2-22, reaching 678,1 m. euros. Ongoing fleet investments and efficient cost management despite inflationary pressures led to achieve an EBITDA growing 3,7 times higher, to 139,5 m. euros from 37,7 m. euros in H1-22.

Pre-tax Profit reached 48,7 m. euros compared to a pre-tax Loss of 30,6 m. euros in H1-22, while Net Income reached 37,1 m. euros from Losses of 27,7 m. euros in H1-22.

During H1-23, Aegean proceeded with the full repayment of loans drawn during the pandemic (68,5 m. euros). Moreover, Aegean fully repaid a finance lease contracted in 2020 for an A321 neo aircraft, while one new A320neo aircraft delivery from Airbus was purchased in cash ($70 mil. total amount of above mentioned two actions). In total, the Group owns 11 debt free aircraft, from 4 owned aircraft in December 2019. Cash and cash equivalents increased by almost 200,0 m. euros at 30.06.2023 vs 31.12.2022, due to strong operating cash flow, following high pre-bookings for the summer period, despite loan and finance leases repayments and capex.

Mr. Dimitris Gerogiannis, Aegean’s CEO, commented: “Our performance in H1 2023 confirmed the consistent implementation of our targets in an environment of strong demand and intense competition. We are presenting exceptionally strong results stemming from network expansion and increased capacity following new aircraft deliveries, while at the same time, cost discipline and continuous upgrade of our services and product further enhance our competitiveness. In Q3 and Q4 the Group plans to operate with 10% and 15% more available seat kilometers (ASKs) respectively compared to the respective period in 2022, supporting the extension of the tourism season and increasing capacity investment in more areas.”

Based on the strong performance in H1-23 and Q3 available data, revenue per flight is expected to be at the same high levels of the already strong Q3 2022, while for the full year a significant improvement in profitability is expected versus the already strong FY 2022 results, thus reaching new historical highs.

It is noted that in 2023 Aegean took delivery of 9 new aircraft, thus reaching 28 A320 neo family aircraft. New aircraft cover 50% of total annual activity operated by the jet fleet in terms of hours, flights and ASKs, achieving significant cost benefit as well as reduced environmental footprint per passenger.

For the full year, the Group plans to offer a total of 18 million seats, with 11 million international seats, 2 million more compared to 2022. Network is expected to cover 46 countries to 165 destinations out if its 10 bases with a fleet of 76 aircraft.

The article Aegean announced Second Quarter and First Half 2023 financial results first appeared in TravelDailyNews International.