Icelandair Group reports 'good' 2Q2016 but downgrades full year guidance

Icelandair Group revenue up 13% - financial highlights:

• Three months ended 30-Jun-2016:
• • Total revenue: USD331.4 million, +13% year-on-year;
  • • Passenger: USD234.3 million, +9%;
    • Cargo and mail: USD12.6 million, +24%;
  • Costs: USD279.0 million, +14%;
  • • Labour: USD92.0 million, +29%;
    • Fuel: USD61.1 million, -9%;
  • EBIT: USD29.2 million, +3%;
  • Net profit: USD26.2 million, +17%;
  • Passenger numbers:
  • • Domestic and Greenland: 77,600, +4%;
    • International: 971,800, +18%;
  • Load factor:
  • • Domestic and Greenland: 70.3%, -1.8 ppt;
    • International: 80.8%, -1.5 ppt;
• Six months ended 30-Jun-2016:
• • Total revenue: USD543.2 million, +13%;
  • EBIT: USD8.5 million, -6%;
  • Net profit: USD9.2 million, +17%;
  • Total assets: USD1218 million;
  • Cash and short-term investment: USD287.6 million;
  • Total liabilities: USD747.2 million. [more - original PR]

Icelandair Group: "We have now lowered our earnings estimate in light of market uncertainties. Terrorist attacks in Europe and the outcome of the Brexit referendum have caused decline in average airfares and created a situation of uncertainty in the markets, rendering air carriers' operating conditions more difficult. Nevertheless, the Group's financial position is strong, and the Company remains flexible despite its rapid growth in recent years. We are therefore well prepared to respond to the challenges resulting from the upcoming market turbulence and also to seize any opportunities that present themselves for the long term," Björgólfur Jóhannsson, President and CEO. Source: Company statement, 27-Jul-2016.