SAS Group Interim Report January-June 2006
Record number of passengers contributed to positive result• Operating revenue for the first six months amounted to MSEK 32,383 (29,033), an increase of 11.5%. For the second quarter, operating revenue amounted to MSEK 17,916 (16,017), an increase of 11.9%.
• Number of passengers rose by 8.7% to 18.8 million during the first six months and by 6.0% during the second quarter to 10.3 million, while the cabin factor increased by 4.1 percentage points to 74%.
• Nonrecurring items totaling MSEK 265 were charged to the results for the second quarter, of which MSEK 160 pertains to costs for the closure of the Sola base and MSEK 105 is the effect of a legal process relating to Scandinavian Ground Services in Norway.
• Income before capital gains and nonrecurring items amounted to MSEK -425 (-733) for the six-month period, an improvement of MSEK 308. Income for the second quarter totaled MSEK 894 (579). Income for the second quarter of 2006 was affected negatively in an amount of approximately MSEK 200 by the cabin crew conflict and the Easter effect in April.
• Net income for the period amounted to MSEK -511 (-472) for the six-month period and to MSEK 553 (499) for the second quarter.
• CFROI for the twelve-month period July 2005-June 2006 was 13% (12%).
• Earnings per share for the SAS Group were SEK -3.31 (-2.85) for the six-month period and SEK 2.97 (3.01) for the second quarter. Equity per share was SEK 68.13 (70.41).
• Currency-adjusted total unit cost, adjusted for higher fuel prices, rose by 2.2% for Scandinavian Airlines Businesses during the period January-June 2006. During the same period, fuel costs, adjusted for currency and volume, increased by MSEK 1,150.
• Cost savings corresponding to SEK 2.5 billion are currently being implemented. To date, 49% of these measures have been put into effect.
• President and CEO of the SAS Group, Jörgen Lindegaard, announced that he would leave the Group. Deputy CEO Gunnar Reitan took over as Acting President and CEO as from August 1. Recruitment is in progress.
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