Air France-KLM reports profits in 1QFY2011, targets break-even in FY2011

Air France-KLM revenue up 11% - consolidated financial/traffic highlights for the three months ended 30-Jun-2010:

• Revenue: EUR5,721 million, +10.7% year-on-year;
• Costs: EUR5,936 million, +3.9%;
  • Labour: EUR1,867 million, -1.4%;
  • Fuel: EUR1,441 million, +26.8%;
  • Landing fees and en route charges: EUR426 million, -5.3%;
• Operating profit (loss): (EUR132 million), compared with a loss of EUR496 million in p-c-p;
• Adjusted operating profit*: EUR26 million, compared with a loss of EUR496 million in p-c-p;
• Net profit: EUR736 million, compared with a loss of EUR426 million in p-c-p;
• Total assets: EUR29,552 million, compared with EUR27,775 million as at 31-Mar-2010;
• Operating cash flow: EUR570 million;
• Net debt: EUR6,060 million, compared with EUR6,220 million as at 31-Mar-2010;
• Passenger traffic (RPKs): -2.3%;
• Load factor: 81.5%, +2.2 ppts;
• Passenger yield: EUR 8.45 cents, +11.8%;
• Passenger revenue per ASK: EUR 6.89 cents, +14.8%;
• Passenger costs per ASK: EUR 7.04 cents, +8.9%;
• Cargo traffic (FTKs): +2.6%;
• Cargo yield: EUR 26.09 cents, +39.9%;
• Cargo revenue per ATK: EUR 18.15 cents, +54.1%;
• Cargo costs per ATK: EUR 17.62 cents, +9.8%. [more]

*Excluding air space closure

Air France-KLM: "The first quarter saw an acceleration in the recovery in activity levels, particularly in business travel and cargo. Forward bookings for the second quarter are solid, but uncertainty surrounding the economic environment and the fuel price leads us to remain prudent for the second half of the year. Nevertheless, in view of the positive indications from the medium-haul transformation and the quicker than expected turnaround of the cargo business, our objective for full year 2010-11 is of operating break-even, excluding the impact of the air space closure in April," Company statement. Source: Air France-KLM, 27-Jul-2010.