21 October, 2022

Record passenger revenue of USD$408.3 million leads to USD$58 million profit for Icelandair in third-quarter

Icelandair has seen record passenger revenue of USD$408.3 million leads to USD$58 million profit during the third quarter. 
Record revenues for Icelandair
Photo Icelandair

BOGI NILS BOGASON, PRESIDENT & CEO said : "We reached 82% of 2019 capacity and more than doubled the number of passengers between years. It is great to see how fast our transatlantic market has recovered, accounting for 43% of the total number of passengers in the quarter. Continued improvement of revenue generation from our Saga Premium product positively impacted unit revenue. Furthermore, our cargo and leasing businesses continued to strongly complement our revenue generation.

Achieving these results against a backdrop of considerable challenges during the ramp-up phase has required a joint effort across the Company. Disruptions at airports and in supply chains impacted our operations as well as our customers’ experience. I would like to thank our employees for the dedication and hard work over the past weeks and months, our customers for their trust and patience, and our tourism partners for their great cooperation in quickly ramping up tourism services in Iceland.

The booking status in the fourth quarter is strong although we are expecting some headwinds this winter. The operating environment will remain challenging, where we are seeing interest rates and various costs on the rise which will most likely impact demand. We, however, believe there will continue to be great opportunities for Iceland as an attractive destination and we have a strong foundation to build on. Our financial position is robust with strong liquidity and our extensive route network, as well as our flexibility allows us to move quickly and adjust our operations and services to the situation."

EBIT USD 92.7 million with 19% EBIT margin; improving by USD 84.5 million year-on-year
Record passenger revenue USD 408.3 million
Record load factor and high unit revenue
Number of passengers 1.4 million; more than doubling from last year
Unit revenues up by 38% year-on-year while unit cost excluding fuel decreased by 8%
Strongest cash position ever at the end of Q3
Well positioned to weather headwinds and seize opportunities in the coming months

Icelandair results (globenewswire.com)

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