fastjet Plc: Interim Results for the six months to 30 June 2017

The table below shows the financial performance of the fastjet Group for the period to 30 June 2017.

Highlights

• New executive team; Board reconstituted
• Stabilisation Plan substantially completed; fastjet now well-positioned for targeted geographic expansion
• Losses down 57% year on year
• Negative cash flow from operating activities reduced to US$(21.4m) (2016: US$(25.6m))
• On track to achieve target of cash flow break-even by Q4 17
• On 29 June 2017, fastjet purchased its brand from easyGroup Holdings Ltd for $2.5m

Operational headlines

• Fleet adjustments delivering clear benefits

Ø Revenue per seat up 30% year on year

Ø Load factors up 18% year on year

• Move of fastjet's headquarters from UK to Africa completed
• Growing passenger flows from the Emirates Interline agreement
• Named Africa's Leading Low-Cost Airline 2016 at the World Travel Awards and Best LCC in Africa at 2017 Skytrax World Airline Awards

Commenting on the results, fastjet Chief Executive Officer Nico Bezuidenhout, said: "The first six months of 2017 was both a rewarding and challenging period for fastjet.

"I am pleased with the considerable progress made during the period, with significant cost reductions across the business, the successful migration of fastjet's headquarters from Gatwick to South Africa and a renewed commercial impetus that, as expected, is delivering real benefits. We have focused on successfully implementing the Stabilisation Plan announced a year ago, while simultaneously examining potential commercial opportunities.

"As the Stabilisation Plan was delivered, improvements in distribution, reach and marketing efficiency drove yield and volume, and efficiencies in average fares, distribution channels and currency mix were achieved. This resulted in cost efficiencies and revenue improvement with a 30% increase in revenue per available seat. Average load factors for the period were 65.4%, up from 47.8% in the first half of 2016.

"Our re-fleeting plan is on track and by the end of the year fastjet will have replaced its fleet of A319s with three Embraer E145 and two Embraer E190 aircraft and have launched in at least one new market in the region. fastjet has taken full brand ownership of its trademarks and identity from easyGroup, empowering the business to further mould itself into an Africa-appropriate, relevant and operationally-suited business.

"I am proud of our achievements, which have occurred in a relatively short timeframe. While there remains a lot of work to be done, our initiatives are delivering clear, positive results and we are on track to achieve our target of cash flow break-even by the fourth quarter of this year. Having stabilised the business, we are looking forward with confidence to the next stage of fastjet's development and geographic expansion."