We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
---|---|---|---|---|---|
Flybe Grp | LSE:FLYB | London | Ordinary Share | GB00B4QMVR10 | ORD 1P |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 0.964 | 0.964 | 0.99 | 0.00 | 01:00:00 |
Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
---|---|---|---|---|---|
0 | 0 | N/A | 0 |
TIDMFLYB
RNS Number : 8151A
Flybe Group PLC
29 March 2017
Flybe Group PLC
29 March 2017
Flybe Group plc
("Flybe" or "the Group")
Flybe Pre-Close Statement
Competitive conditions in the market continue
Flybe announces a trading update for its estimated performance for the fourth quarter ending 31 March 2017. The period has been characterised by weak demand in an uncertain consumer environment, together with price competition arising from overcapacity amongst airlines and sharpened price activity from rail operators. Weather related and operational cancellations, as well as industrial action mainly by French air traffic controllers also impacted revenue.
Flybe responded by taking further action on cost and reducing the capacity it flew. As a result, Flybe slowed its year-on-year seat capacity(2) growth further to 10% (Q3: 12.7%). Although load factor(3) fell by around 1.4 ppts year-on-year in the final quarter, this was an improvement compared to the previous quarter's 1.7 ppts reduction. Passenger yield(1) rose by 2.9% in Q4 (Q3: 2.8%). As a result, estimated passenger revenue(5) rose by 9.8% in the final quarter (Q3: 13.5%).
Flybe is planning a major upgrade to its core systems, which will significantly improve the customer experience and allow greater ecommerce activities. As a result, a full review of software assets and IT contracts is being conducted which is expected to result in additional cost and non-cash write downs, which could impact profit by around GBP5m to GBP10m in the current financial year. Excluding this, adjusted profit before tax for the year ended 31 March 2017 is expected to be a small loss.
Flybe has taken delivery of nine Q400 aircraft in the year, arising from the legacy aircraft contract commitments. We therefore expect the peak size of the fleet to be reached next month with a total of 85 aircraft. As previously announced, Flybe has informed lessors that all six end-of-lease aircraft will be returned in the second half of 2017/18. This will lead to the fleet reducing in size.
Total cash balance remains healthy and we expect net debt to be around GBP75m at the end of the year.
Summer UK trading to-date (H1 2017/18 forward trading position as at 19 March 2017)
At this early stage, Summer trading is in line with our expectations:
-- 3% increase in capacity versus prior year as the fleet size peaks -- 18% of capacity has already been sold, in line with prior year -- 6% increase in yield, helped by the timing of Easter -- 11% increase in revenue
Christine Ourmieres-Widener, Chief Executive, said:
"I continue to be very excited about the opportunities in Flybe, especially as we are now able for the first time to take control of our fleet size to reduce overcapacity. Flybe is increasingly a digitally enabled business, with 80% of bookings already being made via our website. To seize this opportunity, we must first rebuild some of our core systems and this is now starting. We shall continue to reduce costs, work with our partners to improve efficiency and stop unprofitable flying.
I look forward to updating the market on my priorities for Flybe at our Full Year Results announcement on 8 June."
Enquiries:
Flybe Philip de Klerk, Chief Tel: +44 (0)20 Financial Officer 7379 5151 Maitland Andy Donald Tel: +44 (0)20 7379 5151
Flybe UK KPIs
Quarter Quarter Change to to 31 Mar 31 Mar 2017 2016 --------------------------- -------- -------- ---------- Seats and passengers Scheduled seats (million) 2.9 2.6 10% Passengers (million) 1.9 1.8 6.6% Load factor (%) 66.6% 68.0% (1.4ppts) --------------------------- -------- -------- ----------
Hedging
Flybe UK's current hedge books(6) at 20 March 2017 are summarised below (all hedges are forward swaps).
Jet fuel (c $120m annual expenditure)
-- H1 2017/18 - 93% hedged at $484.02 per tonne -- H2 2017/18 - 75% hedged at $495.48 per tonne -- H1 2018/19 - 20% hedged at $546.63 per tonne
US Dollar (c. $315m annual spend)
-- H1 2017/18 - 91% hedged at $1.4143 -- H2 2017/18 - 80% hedged at $1.4190 -- H1 2018/19 - 12% hedged at $1.2983
Flybe UK currently has a broadly neutral position in Euro income and expenditure.
END
Notes:
1. Passenger yield represents total passenger revenue (as defined in note 5) per passenger after the deduction of government taxes and levies
2. Seat capacity represents the actual number of seats flown
3. Load factor is sold seats (Flybe ticketed passengers on either Flybe operated scheduled services or hardblock routes operated by the codeshare partner) divided by scheduled available seats (seats available for passenger occupancy on scheduled services)
4. Passengers are customers with an issued ticket where the ticket has charged a fare and/or a passenger surcharge and tax (if applicable)
5. Passenger revenue represents total ticket and ancillary revenue (including unflown APD) less refunds plus revenue from hardblock codeshare arrangements
6. Based on anticipated fuel and USD requirements
Forward-looking statements:
Certain information included in these statements is forward-looking and involves risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the forward-looking statements.
Forward-looking statements include, without limitation, projections relating to results of operations and financial conditions and Flybe Group plc ("the Group") plans and objectives for future operations, including, without limitation, discussions of the Group's Business Plan, expected future revenues, financing plans and expected expenditures. All forward-looking statements in this report are based upon information known to the Group on the date of this IMS. The Group undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
It is not reasonably possible to itemise all of the many factors and specific events that could cause the Group's forward-looking statements to be incorrect or that could otherwise have a material adverse effect on the future operations or results of the business. Further information on the primary risks of the business and the risk management process of the Group is given in the Annual Report and Accounts 2014/15; these documents are available on http://www.flybe.com/corporate/investors.
This information is provided by RNS
The company news service from the London Stock Exchange
END
TSTLLFIAVAITFID
(END) Dow Jones Newswires
March 29, 2017 02:01 ET (06:01 GMT)
1 Year Flybe Chart |
1 Month Flybe Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions