# MNOK 1,145 in - - PDF document

▶
mnok 1 145 in revenue 51 growth since last year
SMART_READER_LITE
LIVE PREVIEW

# MNOK 1,145 in - - PDF document

Sep 15, 2022 261 likes •381 views

slide-1
SLIDE 1

1

  • !

! ! !" " " "

200 400 600 800 1 000 1 200 1 400

Q 4 4 Q 4 5 Q 4 6 Q 4 7

MNOK Revenue

51 %

#

  • MNOK 1,145 in revenue, 51% growth since last year

– International: MNOK 659; 85% growth – Domestic: MNOK 486; 20% growth

Q4 04 Q4 05 Q4 06 Q4 07

Revenue 331 531 760 1145 Domestic 223 299 404 486 International 108 232 356 659 Domestic Growth

  • 10 %

34 % 35 % 20 % International Growth 300 % 114 % 53 % 85 %

slide-2
SLIDE 2

2

$%&'(

Q4 06 Q4 07

EBITDA Group MNOK

  • 19
  • 36

Earnings aft. tax Group

  • 25
  • 21

EBITDA Group margin %

  • 2 %
  • 3 %

EBITDA Norwegian w/o Polska & FlyNordic 35 18 EBITDA Norwegian Polska

  • 52
  • 25

EBITDA FlyNordic n/a

  • 30

200 400 600 800 1 000 1 200 1 400

Q 4 4 Q 4 5

MNOK Revenue

51 %

$$

  • Annual turnover of 4,226 MNOK, 44% increase since last year
  • Strong revenue growth from international expansion

1 000 2 000 3 000 4 000 5 000 Revenue MNOK Revenue Domestic International 44 %

2004 2005 2006 2007

Revenue 1 210 1 972 2 941 4 226 Domestic 830 1 048 1 472 1 785 International 380 924 1 470 2 441 Domestic Growth

  • 7 %

26 % 40 % 21 % International Growth 467 % 143 % 59 % 66 %

slide-3
SLIDE 3

3

  • 200
  • 150
  • 100
  • 50

50 100 150 200 250 300 2004 2005 2006 2007

  • 12 %
  • 7 %
  • 2 %

3 % 8 % 13 % 18 % EBITDA Group MNOK EBITDA Margin Norway MNOK EBITDA Margin MNOK

#)

  • Total earnings (EBITDA) of 208 MNOK in 2007 (21)
  • Earnings after tax of 85 MNOK (-22)
  • Fuel price increase reduced earnings with MNOK 60 in 2007

Less Polish

  • peration

Less FlyNordic

2004 2005 2006 2007

EBITDA MNOK

  • 141

56 21 208 Earnings aft tax

  • 110

28

  • 22

85 EBITDA margin %

  • 12 %

3 % 1 % 5 %

(*+$ # $+ *,

  • Average fuel price in Q4 2006 was

NOK 5,053 compared to NOK 6,402 this year – equivalent to MNOK 65 in extra fuel costs in Q4

Quarterly Revenues

2007 2006 2005 2004 200 400 600 800 1 000 1 200 1 400 Q1 Q2 Q3 Q4 Revenue MNOK

Quote Jet Fuel CIF NWE Cargoes

500 600 700 800 900 1 000

Q4 2006 Q4 2007

  • Larger share of the route portfolio on

international routes increases seasonal fluctuations

slide-4
SLIDE 4

4

#,+ +(*

  • Positive cash flow from operations of 498 MNOK in 2007 (76)
  • Negative cash flow of 9 MNOK from operations in Q4 (-122)
  • Investments:

– Boeing pre-delivery payment MNOK 50 – Currency hedge deposit of MNOK 215

  • Financial activities:

– Equity issue in August in relation to the purchase of FlyNordic – Equity issue in October in relation to the share option program

CASH FLOW STATEMENT (KNOK) 2007 2006 2007 2006 Net cash flows from operation activities

  • 8 855
  • 122 061

497 920 75 648 Net cash flows from investments

  • 310 781
  • 33 601
  • 532 619
  • 245 257

Net cash flows from financial activities 9 425 306 425 139 864 Exchange rate effect on cash 1 539

  • 86
  • 2 025
  • 9

Net change in cash and cash equivalents

  • 308 672
  • 155 747

269 700

  • 29 755

Cash and cash equivalents in beginning of period 810 082 387 456 231 710 261 464 Cash and cash equivalents in end of period 501 410 231 710 501 410 231 710

Full Year

  • 4. Quarter
  • $ +, + .,#$

* Excl. FlyNordic

  • 80 % Load factor in 2007 – absorbing production growth of 30%
  • Started 26 new routes in 2007

80 % 79 % 78 % 67 % 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 2004 2005 2006 2007 60 % 65 % 70 % 75 % 80 % 85 % ASK Load Factor

slide-5
SLIDE 5

5

/(*/

  • The Group had more than 6.9 million passengers in 2007*

– 3.1 million domestically – 3.8 million internationally

  • Norwegian w/o subsidiaries transported 6.4 million passengers

* FlyNordic only Aug- Dec 1 000 000 2 000 000 3 000 000 4 000 000 5 000 000 6 000 000 7 000 000 8 000 000 2004 2005 2006 2007 Passengers LF Passengers DY 36 % 27 % 25 % 23 % 26 % 34 % 30 % 28 % 33 % 42 % 35 % 35 % 40 % 44 % 34 % 38 % 44 %

0 % 10 % 20 % 30 % 40 % 50 % Bergen Stavanger Tromsø Trondheim 2004 2005 2006 2007

$, (0 /

  • Market share of 41 % on key domestic routes, 3 pp growth since

last year

  • Timetable improvements pays off
slide-6
SLIDE 6

6

+$ 0 $(, /

  • Market share in Q4

46 % 45 % 42 % 37 %

0 % 5 % 10 % 15 % 20 % 25 % 30 % 35 % 40 % 45 % 50 % Tromsø Stavanger Trondheim Bergen 0,53 0,54 0,55 0,59

0,50 0,55 0,60 2004 2005 2006 2007 0,51

', , $* +, , + *,

  • Unit cost of 0.53 in 2007
  • Cost level affected by higher fuel prices and one-offs

Fuel One offs Wet lease Introduction B737-800 New Handling agent

slide-7
SLIDE 7

7

+, 1 #

  • But still upside potential to achieve ”best in class”

performance

Aircraft avg. Utilization/ Day

Source: Jacob s C o nsult ancy

2 4 6 8 10 12 14 Norw egian Most Profitable LCC 2nd Most Profitable LCC 3rd Most Profitbale LCC Head-on Competitor 2005 2006 2007

Passengers Per Employee

Source: Jacobs C onsult ancy

2 000 4 000 6 000 8 000 10 000 12 000 Norw egian Most Profitable LCC 2nd Most Profitable LCC 3rd Most Profitbale LCC Head-on Competitor 2005 2006 2007

$ #(2 ,+

  • The most environmentally friendly fleet available on order

– 50 brand new B737-800 HGW on order (1 delivered) – 3 used B737-800 on order (1 delivered) – Option for further 42 B737-800 HGW

Relative Per Pax Emissions

Fuel/CO2 Fuel/CO2 Fuel/CO2 Fuel/CO2 Nox Nox Nox Nox

0 % 10 % 20 % 30 % 40 % 50 %

737-800HGW 737-800 737-300 MD-80

Base Base 4 % 5 % 23 % 17 % 33 % 43 %

BETTER

slide-8
SLIDE 8

8

( $, $ +, ( #

Consumption (t/yr/a/c) 8 867 Consumption (t/yr/a/c) 8 200 Consumption (t/yr/a/c) 8 467 40 40 31,5 5960 5960 5954 915 915 915 NOK/USD 5,54 NOK/USD 5,54 NOK/USD 5,54 Total Fuel Cost 1 797 824 361 Total Fuel Cost 1 662 649 597 Total Fuel Cost 1 351 916 608

Savings w/ 737-800 H 445 907 753 Savings w/ 737-800 H 310 732 989 Savings w/ 737-800 H

Jet-A1 price (USD/tonn) Number of Seats Number of Seats Number of Seats Jet-A1 price (USD/tonn) Jet-A1 price (USD/tonn)

McDonnell Douglas MD-80 Boeing 737-300 Boeing 737-800 HGW

Fleet size Fleet size Fleet size

5 10 15 20 25 30 35 40 Q4 04 Q4 05 Q4 06 Q4 07

MNOK Revenue

$( + ,, * ++)

  • Strong growth in 3rd party sales
  • Continuing focus on existing ancillaries, introduction of new products
  • In Q4 ancillaries accounted for more than NOK 35 per passenger

209 %

slide-9
SLIDE 9

9

3$

  • Norwegian Reward is a joint venture with BankNorwegian
  • Implementation has been highly successful
  • Call Norwegian is a fully owned subsidiary of the airline
  • Family & Friends

Telenor, NetCom Business Telenor, NetCom, Ventelo Low Cost - Web Chess, Tele2, One Call Youth & Control Kontant / NC YoungTalk Immigrants Lebara

Attractive to travellers: In flight, at airports, abroad

  • Simple
  • Competitive price
  • Services adjusted to the segment

Call Norwegian

Market Position

slide-10
SLIDE 10

10

$ 4*

  • 7 Boeing 737-800 and 3 Boeing 737-300 adds capacity

– Norway: 4 B737-800 and 2 B737-300 – Sweden: 3 B737-800; 4 MD-80 phased out – Poland: 1 B737-300

  • Total fleet of 41 aircraft from June 2008
  • Expected production increase of approximately 50 %
  • New Rygge base starts on February 14th with two aircraft

500 1 000 1 500 2 000 2 500 3 000 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Mill ASK

Domestic International

  • Excl. FlyNordic

4*, +

  • Business Environment

– Continued pressure on yield – Uncertain macro conditions – Sustained demand – Higher seasonal fluctuations

  • Cost Development

– Unit cost in the area of NOK 0,50 for the Group* – Down from 0.52 guided in Q3 due change in route portfolio mix. Same effect on yield.

  • Subsidiaries/ Bases

– The Polish base is expected to continue its positive development, but will not be profitable due to continued expansion – FlyNordic expected to be loss making during Q1, break even expected for the full year – The Rygge start up with 16 new routes is expected to have losses in first half, but with positive results in second half.

* Assuming fuel price of USD 850/ton

slide-11
SLIDE 11

11

146 routes to 76 destinations