Korean Airlines Q Results

Transcription

1 Korean Airlines Q Results

2 Disclaimer This presentation is for informational purposes only, contains preliminary financial and other information about Korean Air Lines Co., Ltd. and is subject to updating, revision, amendment and completion. This presentation does not and is not intended to constitute or contain any offer of securities for sale or a solicitation of an offer to purchase any securities of Korean Air Lines Co., Ltd. or any other company and neither this presentation nor anything contained herein shall form the basis of any contract or commitment. Certain statements contained in this presentation may be statements of future expectations and other forward-looking statements or trend information that are based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those in the forward-looking statements in this presentation. In addition to statements which are forwardlooking by reason of context, including without limitation, statements referring to risk limitations, operational profitability, financial strength, performance targets, profitable growth opportunities, and risk adequate pricing, the words "may, will, should, expects, plans, intends, anticipates, believes, estimates, predicts, or continue", "potential, future, or further", and similar expressions are intended to identify forward-looking statements. Korean Air Lines Co., Ltd. assumes no obligation to update or revise any such statements or any other information contained herein to reflect events or circumstances that may arise after the date of this presentation c 2

3 Summarized Balance Sheet End of Q End of 2009 (Unit : Billion KRW) Changes Amount Ratio Asset Current Asset 2, , % Non-Current Asset 14, , % Total Asset 17, , % Liabilities Current Liabilities 5, , , % Non-Current Liabilities 8, ,247.3 (403.7) -4.4% Total Liabilities 14, , % Total Shareholder s Equity 2, ,057.1 (86.3) -2.8% 3

4 Asset Composition (Unit : Billion KRW) 12,000 Increased billion KRW 10,000 8,000 6,000 4,000 2,000 Increased billion KRW End of Q End of Quick Asset Inventories Investments Tangibles Non Tangibles Others Current Assets Non-Current Assets 4

5 Borrowings Currency End of Q End of 2009 Changes Local Weight Local Weight Amount Ratio USD $ 5.22 bil 53.7% $ 5.03 bil 50.1% 0.19 bil 3.8% KRW 5,034.1 bil 42.8% 5,375.4 bil 45.9% bil -6.4% JPY 23.8 bil 2.8% 27.8 bil 3.0% -4.0 bil -14.4% EUR 0.06 bil 0.7% 0.07 bil 1.0% bil -14.3% Total (in USD) 9.72 bil 100% 9.87 bil 100% bil -1.5% Applied USD/KRW FX rate : 1, (as end of Q) 5

6 Borrowings (Changes YOY) Total borrowing amount decreased by 0.15 billon USD (Unit : Billion USD) Decreased billion KRW 4.44 End of Q End of USD KRW JPY EUR 6

7 Summarized Income Statement (Unit : Billion KRW) Q Q Changes H H Changes Operating Revenue Operating Expense 2, , % 5, , % 2, , % 4, , % Operating Profit (127.3) Turn to Profit (120.7) Turn to Profit Non Operating Income/Expense Income Before Tax (650.4) (637.4) (459.4) (298.3) 93.8 (65.1) (580.1) Net Income (233.1) 78.5 (61.5) (447.8) 7

8 Revenue Breakdown Posted an Operating revenue of 2,836.4 billion KRW in 2Q Increased 36.7% compared to the same period last year (Historically the highest figure) Total Revenue Cargo 36% Flight Operation Related 8% Other Businesses 4% Dom Passenger 5% Int l Passenger 47% Flight Operation Related In-flight Duty free 24% Mileage 25% Others 37% Other Businesses OAL Maintenance 10% Baggage 3% Agreement Operation 1% Catering 13% Aerospace 78% Hotel/ Limousine 9% 8

9 Operating Profit Passenger : Increased 25.8% (YOY) - Stable FX rate and resume of travel demand were the main drivers Cargo : Increased 86.4% (YOY) - Traffic increased due to economy recovery (Unit : Billion KRW) Passenger Increased 305 billion KRW(YOY) Cargo Increased 473 billion KRW(YOY) 109 (4%) 221 (8%) 1,020 (36%) 100 (5%) 1,486 (52%) 245 (12%) 547 (26%) 1,181 (57%) Q : 2,836 bil KRW Q : 2,075 bil KRW 9

10 Passenger Traffic Domestic Passenger International Passenger Q Q Changes Q Q Changes Supply(mil ASK) 1,105 1, % 18,104 18, % APR % 5,868 5, % MAY % 6,226 6, % JUN % 6,011 6, % Traffic(mil RPK) % 13,858 12, % APR % 4,419 3, % MAY % 4,719 4, % JUN % 4,719 4, % L/F (%) 71.3% 65.5% 5.8%p 76.5% 66.3% 10.2%p YIELD (Cent) % % YIELD (KRW) % % 10

11 Passenger Traffic & Yield Changes Continuous traffic growth since H Recorded 14,646 million RPK in Q, (Historically the highest among all 2Qs) 16,000 15,000 Historically the highest traffic level in all 2 nd quarters ,000 13,000 12, , ,934 13,707 13, RPK(Mil) ,860 14,646 11,000 Yield(KRW) 10, Q 06 2Q 07 2Q 08 2Q 09 2Q 10 2Q 11

12 Passenger Revenue by Route Rapid traffic growth in short-haul routes due to recovery of leisure travel demand Visa waiver & base effect from previous year contributed in the traffic increase of long-haul routes (Unit : Billion KRW) 600 Route revenue increased %(YOY) is marked below Q Q 32.1% % 32.8% 50.0% 25.7% 37.3% Dom Japan China SEA Americas Europe 12

13 Passenger Revenue by Region Sales Passenger revenue in 2Q increased billion (+25.8% YOY) - Korea region sales increased bil (+42%) - Overseas sales increased 69.9 bil (+11%) Q (1,181.4 billion KRW) Europe 6% Q (1,486.0 billion KRW) Europe 5% SEA 8% China 6% Americas 19% Japan 14% Korea 47% SEA 7% China 5% Americas 18% Japan 12% Korea 53% 13

14 Cargo Traffic Q Q Changes Supply (mil AFTK) 3,215 2, % APR 1, % MAY 1, % JUN 1, % Traffic (mil FTK) 2,503 1, % APR % MAY % JUN % L/F (%) 77.9% 75.8% 2.1%p YIELD (Cent) % YIELD (KRW) % 14

15 Cargo Traffic & Yield Changes Continuous traffic growth since H Recorded 2,503 million FTK, (Historically the highest level among all quarters) 2,600 Record high traffic level 376 2,500 2,400 2,300 2,200 2,100 2,000 1,900 1, ,121 1,996 2, , ,348 FTK(Mil) 1,983 Yield(KRW) 05 2Q 06 2Q 07 2Q 08 2Q 09 2Q 10 2Q 15

16 Cargo Revenue by Route Leaded by IT products, Air Cargo traffic continues its growth 500 Route revenue increased %(YOY) is marked below (Unit : Billion KRW) Q Q Major Routes 94.2% % % 69.7% 93.4% 10.5% Dom Japan China SEA Americas Europe 16

17 Cargo Revenue by Region Sales Cargo 2Q revenue increased billion (+86.4% YOY) - Korea region sales increased billion (+134%) - Overseas sales increased bil (+65%) Q (547.4 billion KRW) Europe 9% Americas 12% SEA 13% China 27% Korea 31% Japan 8% Q (1,020.2 billion KRW) Americas 8% SEA 13% China 25% Europe 7% Korea 38% Japan 9% 17

18 Key Expenses (Unit : Billion KRW) Q Q Changes Jet Fuel % Consumption Amt(Mil bbl) % Average Unit Price (USD) % Labor % No. of Employees 19,314 19, % Rental % No. of Rented A/C (as end of 2Q) % Depreciation % No. of A/C (as end of 2Q) % 18

19 3,200 2,200 1, , % 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% -2.0% -4.0% -6.0% Operating Margin Ratio Operating Margin turned positive since Q, and recorded 12.4% this quarter, which is historically the highest in all 2 nd quarters 7.5% 3.6% 1, % 2,814 1, % 0.9% 196-1, % -0.9% 0.8% 0.3% (Unit : Billion KRW) 07 1Q 07 2Q 07 3Q 07 4Q 08 1Q 08 2Q 08 3Q 08 4Q 09 1Q 09 2Q 09 3Q 09 4Q 10 1Q 10 2Q Historically the highest in all 2 nd quarters 66-1,273 4% 1, % 6% 1, % 2, % 3,521

20 Translation Gain/Loss & Interest Expense Large Translation loss due to KRW depreciation Interest Expense increased slightly (+0.7% YOY) (Unit : Billion KRW) Q Q Description Translation Loss/Gain (For the period of 1H) Dec 31 : 1, Jun 30 : 1, ( 42.7 difference per 1$) Interest Expense (For the period of 2Q)

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