AIRFRANCE KLM June 2014 Traffic Results
- Passenger: disciplined capacity growth, stable unit revenue at constant currency
- Cargo: further reduction in full freighter capacity
- Full Year 2014 outlook: EBITDA objective revised to between 2.2 and 2.3 billion euros
- 7.2 million passengers, +3.9%
- Short and Medium-haul affected by air traffic control strikes in both June 2013 and 2014
- Unit revenue per available seat kilometer (RASK) ex-currency stable compared with June 2013 in spite of higher load factors
- 1 million passengers, +7.6%
- Ongoing accelerated development of Transavia France: capacity +13.6%
- Stable load factor
- Further reduction in full freighter capacity, -9.4%
- Unit revenue per available ton kilometer (RATK) ex-currency down compared with June 2013
- On June 24, Air France inaugurated the first Boeing 777 equipped with the new cabins on the Paris-New York route. On this occasion the exhibition ‘Air France, France is in the air’ opened in New York, enabling visitors to discover the numerous product upscaling initiatives implemented by the company. At the same time, KLM is pursuing the deployment of its new World Business Class, which is already installed on its entire fleet of 22 Boeing 747-400s. The equipment of KLM’s Boeing 777s will commence in September.
- The voluntary departure plan relating to Air France ground staff, announced in October 2013 as part of the additional restructuring measures, was completed at the end of June. With 1,772 validated applications, corresponding to 1,660 FTEs, the plan almost reached its objective of 1,826 departures. A plan aimed at 700 FTEs among the cabin crew has just begun.
While not representing a turning point in market trends, the June traffic figures published today as well as bookings for July and August nevertheless reflect the over-capacity on certain long-haul routes, notably North America and Asia, with the attendant impact on yields. This comes on top of the persistently weak cargo demand and the challenging situation in Venezuela identified in the First Quarter.
These factors lead us to revise our EBITDA target for Full Year 2014 from around 2.5 billion euros to between 2.2 and 2.3 billion euros, a rise of over 20% compared with 2013.
Strong capital disciple will enable us to remain on track in terms of debt reduction and we confirm our objective of 4.5 billion euros in net debt in 2015.
- 25th July 2014: H1 2014 results
- 8th August 2014: July 2014 Traffic
- 8th September 2014: August 2014 Traffic