The Norwegian Group with solid third quarter results

25 Oct 2024 07:00 CEST

The Norwegian Group delivered an operating profit (EBIT) of NOK 2,128 million in
the third quarter of 2024. The quarter was characterised by capacity growth for
Norwegian and improving load factors for both airlines within the group. Widerøe
contributed solidly and, for the first time ever in a quarter, carried over 1
million passengers.

For the third quarter of 2024, the Norwegian Group delivered an operating profit
(EBIT) of NOK 2,128 million, corresponding to an operating margin of 18.4
percent. Profit before tax (EBT) amounted to NOK 2,004 million for the quarter.
The liquidity position was NOK 11.5 billion, unchanged from the previous quarter
and up 2.1 billion from last year. The Norwegian fleet comprised 86 aircraft at
quarter-end, of which 22 were latest technology 737 MAX 8 aircraft. The Widerøe
fleet comprised 49 aircraft.

“We are pleased with a solid quarter, showing increased load factors and unit
revenues across both airlines, especially considering a 10 percent capacity
increase for Norwegian. A record quarter for Widerøe demonstrates that the
acquisition is bearing fruits, and we look forward to continuing to develop the
significant synergies between the airlines. The booking momentum for the fourth
quarter is encouraging across the group, both for leisure and business travel.
Norwegian is operating a number of new leisure routes, including Dubai and
Egypt, in addition to routes from European cities to the popular winter
destinations of Tromsø and Evenes,” said Geir Karlsen, CEO of Norwegian.

The Norwegian Group had 8.2 million passengers in the quarter, of which 7.2
million were passengers of Norwegian and 1.0 million of Widerøe. Compared to the
same period last year, the number of passengers increased by 690,000 for
Norwegian and 99,000 for Widerøe. For Norwegian, production (ASK) increased by
11 percent to 11.5 billion seat kilometres, while for Widerøe the production
decreased by 2 percent. The quarterly load factor for Norwegian was 88.0
percent, up 0.6 percentage points from the same period last year. For Widerøe,
the quarterly load factor was 78.0 percent, an improvement of 4.6 percentage
points from last year.

Norwegian’s punctuality, measured by the share of flights departing on schedule,
was 74.2 percent in the quarter, down from 80.1 percent in the same period last
year. While heavily congested European air space and air traffic control (ATC)
restrictions negatively impacted punctuality this quarter, 95 percent of all
flights arrived within 60 minutes of scheduled arrival time. Regularity, the
share of scheduled flights taking place, was 99.5 percent for Norwegian. For
Widerøe, punctuality in the quarter was 90.9 percent, while regularity was 96.4
percent.

Continued focus on cost effectiveness

Growth for 2025 is forecasted to slow down from the forecasted capacity growth
of 13 percent for 2024. This is due to aircraft delivery delays from Boeing
which are expected to worsen due to the Boeing strike. For the summer of 2025,
the Norwegian fleet is currently forecasted to increase to around 90 aircraft.

“Going forward we will continue to work on streamlining the operation and
identify additional synergies with Widerøe. We will expand our network with new
and exciting destinations, while mitigating any challenges posed by the current
fleet projections,” said Geir Karlsen.

With strong brand loyalty, highly skilled colleagues throughout the organisation
and a solid financial platform, the group is well-positioned to tackle potential
short-term fluctuations in demand and to solidify its position as a leading
airline group in the Nordics. The addition of Widerøe to the group strengthens
the company's customer proposition and outlook through enabling seamless travel
across an improved route network offering.


For detailed information, please see attached report and presentation.


For further information, please contact:
Jesper M. Hatletveit, Investor Relations at Norwegian Air Shuttle ASA Tel: +47
906 64 401


Fornebu, 25 October 2024
Norwegian Air Shuttle ASA


This information is considered to be inside information pursuant to the EU
Market Abuse Regulation and is subject to the disclosure requirements pursuant
to Section 5-12 the Norwegian Securities Trading Act. This stock exchange
announcement was published by Jesper M. Hatletveit, VP Investor Relations at
Norwegian Air Shuttle ASA, on 25 October 2024 at 07:00 CET/CEST.

More information:
Access the news on Oslo Bors NewsWeb site

630372_Norwegian Q3 2024 Report.pdf
630372_Norwegian Q3 2024 Presentation.pdf