SkyEurope Holding reports record fourth quarter (to 30 September 2007) EBIT profits, strong increase in revenue and significant reductions in costs. The airline’s new management continues its focus on restructuring and sustained profitability.
SkyEurope reports a Q4 EBIT profit of EUR 14.3 million and EBITDAR for the year of EUR 9.6 million, achieving full year EBIT and EBITDAR guidance. Continuing the strong growth, SkyEurope’s revenue increased by 22.1%, carrying 1.1 million passengers in Q4 2007 versus 991 thousand passengers in Q4 2006, despite operating less aircraft.
“We are pleased with the results especially with how Q4 compares with last year. Our financial performance clearly shows that our new strategy is working. We have focused and will continue to focus on delivering stronger revenues with a better product, utilising our assets better, and significantly improving our cost base while maintaining growth,” says Nick Manoudakis, SkyEurope’s Chief Financial Officer. Manoudakis, who joined SkyEurope in May 2007 after a successful career as Finance Director and one of the founding members of easyJet, was tasked with helping the airline reach profitability.
Revenue per available seat kilometre improved by 15.7% in Q4 2007 and 11.5% on an annual basis, reflecting better load factors and yields. This improvement is contributed to an overall improved product, featuring higher frequencies to less destinations and more convenient departure times. SkyEurope maintained its on-time performance record and reputation as one of the most punctual airlines in Europe.Aircraft utilisation also improved by 9.1% during the quarter to 12:25 hours (up from 11:23 hours in Q4 2006) in line with the high asset utilisation policy. The continued and constant focus on cost base improvements showed results with unit costs decreasing by 11.0% during the fourth quarter.
In the fourth quarter of Financial Year 2007, two new on-balance sheet financed Boeing 737-700NG aircraft were delivered, further reducing the average age of the fleet. SkyEurope now has the youngest fleet in Europe with an average aircraft age of ten months. After a successful year, in which he has significantly contributed to the positive development of SkyEurope Airlines, leading to profitable results of the Company in the fourth quarter, Karim Makhlouf, Chief Commercial Officer of SkyEurope Airlines, has decided to leave SkyEurope to pursue further interests and meet new challenges in his professional career. Karim Makhlouf’s position with SkyEurope Airlines will end on 31 December 2007.
Makhlouf will be replaced by Steven Greenway who will be appointed as SkyEurope’s new Chief Commercial Officer. Greenway comes to SkyEurope from Virgin Blue in Australia where he has worked as Head of E-Commerce. His strong airline background comes from various commercial positions with aviation related companies such as OAG Worldwide, Virgin Atlantic Airways, PwC Consulting and Qantas Airways.
In addition, Jason Bitter, Chief Executive Officer of SkyEurope Airlines will take over the same function at the parent company SkyEurope Holding AG with effect from 1 December 2007. Christian Mandl, co-founder of SkyEurope, decided to leave the Management Board to join SkyEurope Holding’s Supervisory Board as a non-executive director subject to shareholder approval. “The transition of day-to-day management duties is now completed. Financial targets for 2007 have been delivered and the airline is in good shape with a brand new fleet and a quality product. As founder and shareholder of SkyEurope, I will continue to support the Company in non-executive functions”, says Christian Mandl.
About SkyEurope Airlines
SkyEurope offer connections to main European airports with one of the highest punctuality rates in Europe with a fleet of 14 brand new Boeing 737-700NG aircraft with an average aircraft age of ten months. Over the past 12 months, we have carried 3.5 million customers. By 2011, SkyEurope’s fleet shall grow to 30 new Boeing 737-700 Next Generation aircraft. SkyEurope has been listed on the Vienna and Warsaw stock exchanges since 27 September 2005.
www.skyeurope.com
Contact:
Tomáš Kika, Head of Communication, SkyEurope Airlines
E-mail: tomas.kika@skyeurope.com
Phone: +421 907 672 038
SkyEurope reports a Q4 EBIT profit of EUR 14.3 million and EBITDAR for the year of EUR 9.6 million, achieving full year EBIT and EBITDAR guidance. Continuing the strong growth, SkyEurope’s revenue increased by 22.1%, carrying 1.1 million passengers in Q4 2007 versus 991 thousand passengers in Q4 2006, despite operating less aircraft.
“We are pleased with the results especially with how Q4 compares with last year. Our financial performance clearly shows that our new strategy is working. We have focused and will continue to focus on delivering stronger revenues with a better product, utilising our assets better, and significantly improving our cost base while maintaining growth,” says Nick Manoudakis, SkyEurope’s Chief Financial Officer. Manoudakis, who joined SkyEurope in May 2007 after a successful career as Finance Director and one of the founding members of easyJet, was tasked with helping the airline reach profitability.
Revenue per available seat kilometre improved by 15.7% in Q4 2007 and 11.5% on an annual basis, reflecting better load factors and yields. This improvement is contributed to an overall improved product, featuring higher frequencies to less destinations and more convenient departure times. SkyEurope maintained its on-time performance record and reputation as one of the most punctual airlines in Europe.Aircraft utilisation also improved by 9.1% during the quarter to 12:25 hours (up from 11:23 hours in Q4 2006) in line with the high asset utilisation policy. The continued and constant focus on cost base improvements showed results with unit costs decreasing by 11.0% during the fourth quarter.
In the fourth quarter of Financial Year 2007, two new on-balance sheet financed Boeing 737-700NG aircraft were delivered, further reducing the average age of the fleet. SkyEurope now has the youngest fleet in Europe with an average aircraft age of ten months. After a successful year, in which he has significantly contributed to the positive development of SkyEurope Airlines, leading to profitable results of the Company in the fourth quarter, Karim Makhlouf, Chief Commercial Officer of SkyEurope Airlines, has decided to leave SkyEurope to pursue further interests and meet new challenges in his professional career. Karim Makhlouf’s position with SkyEurope Airlines will end on 31 December 2007.
Makhlouf will be replaced by Steven Greenway who will be appointed as SkyEurope’s new Chief Commercial Officer. Greenway comes to SkyEurope from Virgin Blue in Australia where he has worked as Head of E-Commerce. His strong airline background comes from various commercial positions with aviation related companies such as OAG Worldwide, Virgin Atlantic Airways, PwC Consulting and Qantas Airways.
In addition, Jason Bitter, Chief Executive Officer of SkyEurope Airlines will take over the same function at the parent company SkyEurope Holding AG with effect from 1 December 2007. Christian Mandl, co-founder of SkyEurope, decided to leave the Management Board to join SkyEurope Holding’s Supervisory Board as a non-executive director subject to shareholder approval. “The transition of day-to-day management duties is now completed. Financial targets for 2007 have been delivered and the airline is in good shape with a brand new fleet and a quality product. As founder and shareholder of SkyEurope, I will continue to support the Company in non-executive functions”, says Christian Mandl.
About SkyEurope Airlines
SkyEurope offer connections to main European airports with one of the highest punctuality rates in Europe with a fleet of 14 brand new Boeing 737-700NG aircraft with an average aircraft age of ten months. Over the past 12 months, we have carried 3.5 million customers. By 2011, SkyEurope’s fleet shall grow to 30 new Boeing 737-700 Next Generation aircraft. SkyEurope has been listed on the Vienna and Warsaw stock exchanges since 27 September 2005.
www.skyeurope.com
Contact:
Tomáš Kika, Head of Communication, SkyEurope Airlines
E-mail: tomas.kika@skyeurope.com
Phone: +421 907 672 038
