Aeroflot Group earns EUR32m net profit in 1H2016

Aeroflot reported (29-Aug-2016) the following financial highlights for Aeroflot Group in the six months ended Jun-2016, in accordance with International Financial Reporting Standards (IFRS):

• Revenue: RUB223,824 million (EUR2874.3 million), +26.8% year-on-year;
• • Scheduled passenger flights: RUB181,096 (EUR2325.6 million), +25.7%;
  • Charter passenger flights: RUB7016 million (EUR90.1 million), 238.1%;
  • Cargo flight revenue: RUB5218 million (EUR96.1 million), +17.5%;
  • Other revenue: RUB30,494 million (EUR391.6 million), +17.9%;
• Operating costs: RUB200,574 million (EUR2575.7 million), +17.6%;
• • Aircraft servicing and passenger services: RUB40,120 million (EUR515.2 million), +16.2%;
  • Staff costs: RUB31,032 million (EUR399 million), +13.9%;
  • Operating lease expenses: RUB28,362 million (EUR364.2 million), +42.2%;
  • Aircraft maintenance: RUB17,525 million (EUR225.1 million), +33.8%;
  • Sales and marketing, administration and general expenses: RUB12,843 million (EUR164.9 million), +11.9%;
  • Depreciation, amortisation and customs duties: RUB6785 million (EUR87.1 million), -8.9%;
  • Other net expenses: RUB19,117 million (EUR245.5 million), +57%;
  • Aircraft fuel: RUB44,790 million (EUR575.2 million), +0.2%;
• EBITDAR: RUB58,397 million (EUR749.9 million); margin: 26.1%, +7.3pps;
• EBITDA1: RUB30,035 million (EUR385.7 million); margin: 13.4%, +5.9pps;
• Operating profit: RUB23,250 million (EUR298.6 million), +296.4%;
• Net profit: RUB2467 million (EUR31.7 million), compared to a loss of RUB3541 (EUR55.6 million) in 1H2015;
• Net profit margin: 1.1%;

Aeroflot deputy CEO Shamil Kurmashov stated: "We maintained tight control of operating costs to offset the ongoing effects of exchange rate fluctuations. In the first half of 2016, total operating expenditures rose at a slower pace than revenue: passenger revenue per available seat-kilometre increased by 18.9%, while costs per available seat-kilometre rose 8.6%...Increased fuel efficiency and lower unit consumption, combined with a decrease in the average cost of fuel, enabled us to hold fuel costs, the single largest cost line, almost unchanged year-on-year despite a 4.6% increase in Group flight hours." [more - original PR - English/Russian]

*Based on the average conversion rate at RUB1 = EUR0.012842 for 1H2016

*Based on the average conversion rate at RUB1 = EUR0.015690 for 1H2015