International Consolidat... Share Discussion Threads

[skinny] 02/11/2015 10:59

02 Nov 15 Barclays Capital Overweight 580.75 750.00 750.00 Reiterates

02 Nov 15 Beaufort Securities Buy 580.75 - - Upgrades

02 Nov 15 Deutsche Bank Buy 580.75 - 760.00 Reiterates

02 Nov 15 Jefferies International Buy 580.75 700.00 700.00 Reiterates

[broadwood] 02/11/2015 08:30

IAG delivered solid performance in the first nine months of 2015 with enhanced revenues and higher margins. The company reported a jump in the passenger unit revenue and increase in the seat factor. IAG’s results were well supported by the decreasing oil prices in the past few months. The company enjoys a healthy balance sheet with improved cash position. IAG’s improved margins facilitated the company’s first dividend payment to its shareholders. IAG plans to pay 25% of its underlying pre-tax profit in the form of dividends at the end of the year. Additionally, the acquisition of Aer Lingus Group has turned fruitful for IAG, as Aer contributed €45m to the operating profit since it joined IAG. Going forward, IAG plans to add 8 Airbus Group SE A350 long-range jets for Iberia to change older planes, and add five A330 wide bodies to increase the capacity of Spanish carrier. In view of the overall optimism surrounding IAG, we upgrade the rating to a Buy from Hold

[standish11] 30/10/2015 11:53

Non fuel unit costs up 5.6% in the quarter was higher than I expected and higher than previous quarter. Otherwise no surprises and positive outlook.

[bili1946] 30/10/2015 11:29

OK so dividend payable; strong quarter results and the shares down 4%......seems reasonable?
From my limited perspective I look forward to poor results and share rises as that what seems to happen to my stocks!!

[broadwood] 30/10/2015 10:17

- Profits soared at International Consolidated Airlines (IAG) in the third quarter thanks to rising revenues, the acquisition of Aer Lingus and cheap fuel.
The British Airways and Iberia owner, fresh from announcing its first ever dividend the day before, also nudged the joystick higher on its full year guidance to an operating profit between €2.25bn and €2.3bn, excluding Aer Lingus.

For the key three months to 30 September, IAG's operating profit before exceptional items of €1.25bn was a 39% increase on the same period last year, beating analyst forecasts and taking the nine-month total to €1.81bn, a 59% year-on-year gain.

Aer Lingus made an operating profit of €45m since it joined IAG on 18 August.

"While the airline's profitability is seasonal, Aer Lingus is cost-effective and provides a natural gateway to build our business between Europe and North America. It's a great asset for the group," said chief executive Willie Walsh.

Aer Lingus helped revenue per passenger unit for the quarter rise 6.5%, also helped by beneficial currency rates, being a 3.3% fall otherwise.

Fuel unit costs for the quarter fell 8.6%, or 19.7% at constant currency. Non-fuel unit costs increased 5.6% but if excluding Aer Lingus and at constant currency fell 3.5%.

"We're reporting strong quarter results with a positive contribution from all of our airlines," said Walsh.

"Our passenger unit revenue showed a better trend than in the second quarter of the year and our cost performance remained strong.

On Thursday he had announced IAG's first dividend, an interim payment of 10 euro cents per share.

"For the full year we expect to pay out 25% of our underlying profit after tax in dividends and plan to announce a proposal for a final dividend for 2015 when the full year results are published."

[hansrod] 30/10/2015 08:28

Good profits what's with the heavy drop?

[mokhan2] 29/10/2015 22:23

What's with the with-holding tax on the dividend announced?

[dac123] 28/10/2015 08:24

It all appears to be pointing in the right direction at the moment. Next the 3rd quarter results then next week if or should I say when they announce a dividend that helps even more. At that point the large funds and anyone else who specialises in income generation will buy in, helping push my small holding further north.

[skinny] 28/10/2015 07:05

§ Group traffic in September, measured in Revenue Passenger Kilometres, increased by 13.9 per cent versus September 2014 (up 4.7 per cent on a pro-forma basis); Group capacity measured in Available Seat Kilometres rose by 13.7 per cent (up 4.4 per cent on a pro-forma basis).

§ Group premium traffic for the month of September increased by 1.6 per cent on a pro-forma basis.

[dac123] 26/10/2015 10:47

The company behind British Airways will this week post a big jump in profits, paving the way for a maiden dividend.


On Friday, International Airlines Group, which also owns Spain’s Iberia, is expected to report a 33pc increase in third-quarter profits to almost €1.2bn.


The overall number will be even higher as the forecast excludes Aer Lingus, Ireland’s flag carrier. IAG only completed the €1.4bn takeover of the airline six weeks before the end of the quarter. Buoyed by its strong performance, IAG is expected to announce its first dividend alongside the results, or at its highly anticipated capital markets day the following week.


A shareholder payment would mark a major milestone for IAG, which was formed when BA combined with Iberia in a £5.3bn all-share merger in 2011.


IAG boss Willie Walsh has since orchestrated a dramatic turnaround at loss-making Iberia, returning the Spanish carrier to profit in 2014. The restructuring of the airline has boosted overall profits at IAG, leaving the FTSE 100 company well-placed to start dividend payments.


“Symbolically it is an important moment for them,” said Oliver Sleath, an analyst at Barclays, who predicts a dividend to be unveiled in the next fortnight. Barclays is one of IAG’s corporate brokers and so is considered by investors to be particularly close to the airline giant. Mr Sleath believes an interim dividend could be announced first, followed by a final payout next year.

“They’d always said that, to prove they could be taken seriously by investors, they wanted to be able to introduce a regular dividend,” the Barclays analyst said. “It’s always been an ambition of theirs, as it helps justify the logic of consolidating BA and Iberia.”

While IAG has previously said that it wants to declare a dividend in 2015, it has left the timing of any announcement vague. As a result, some analysts think IAG might wait until its annual results in February. The company has said it is targeting a payout ratio of 25pc of underlying post-tax profits.

It has been a good summer for most of the European airline sector, including easyJet and Ryanair.

IAG’s results, which cover the three months to the end of September, will have benefited from that trend, as well as continuing strength at Iberia. At the capital markets day a week later, IAG is expected to outline more financial targets for Aer Lingus.

A spokesman for IAG declined to comment.

[dgwinterbottom] 21/10/2015 18:59

Skinny :Many thanks much appreciated!

[dgwinterbottom] 21/10/2015 10:32

Could anyone advise if there is to be an expected dividend at the end of this financial year in Dec please.

Thanks

[younasm] 07/10/2015 15:59

Oil - more like $20-30 next year, according most forecasts

[bookbroker] 07/10/2015 15:29

Crazy move down here, these move as though no hedging strategy in place, recent broker notes make a mockery of the current price move!

[younasm] 07/10/2015 13:10

I have gone long at 559p.Thinking 540 - 640 is the new range into Q2 2016.

[hjs] 07/10/2015 12:31

Airline share price goes down as oil price goes up. This is how market reacts but what market forgets is that people have more money in their pockets to go on holidays.
Another factor market has ignored is that big co's like IAG would have hedged crude into the future so crude price uptrend will not have a major inpact.

IMHO, IAG has a long way to move north from todays share price

[bili1946] 05/10/2015 15:20

After these very sound figures perhaps us shareholders can look forward to a dividend at last?I understand that a statement is due this year.....?

[michaelmcandrew] 15/9/2015 11:05

US$1,000,000 purchase by NED must augur well for other shareholders

[dac123] 14/9/2015 13:53

we like 852

[skinny] 14/9/2015 13:33

Positive -

[skinny] 14/9/2015 10:48

Five month high @594.50p.

[skinny] 14/9/2015 07:55

Credit Suisse Outperform 583.50 583.50 750.00 852.00 Reiterates