Korean Air Q Results. Oct 27, 2010

Transcription

1 Korean Air Q Results Oct 27, 2010

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 15, , % Total Asset 17, , % Liabilities Current Liabilities 5, , , % Non-Current Liabilities 8, ,247.3 (791.0) -8.6% Total Liabilities 14, , % Total Shareholder s Equity 3, , % 3

4 Borrowings Currency End of Q End of 2009 Changes Local Weight Local Weight Amount Ratio USD $ 5.36 bil 53.1% $ 5.03 bil 50.1% 0.33 bil 6.6% KRW 5,014.9 bil 43.4% 5,375.4 bil 45.9% bil -6.7% JPY 23.0 bil 2.7% 27.8 bil 3.0% -4.8 bil -17.3% EUR 0.06 bil 0.8% 0.07 bil 1.0% bil -14.3% Total (in USD) bil 100% 9.87 bil 100% 0.24 bil 2.4% Applied USD/KRW FX rate : 1,142 (as end of Q) 4

5 Summarized Income Statement (Unit : Billion KRW) Q Q Changes 2010 YTD(3Q) 2009 YTD(3Q) Changes Operating Revenue Operating Expense 3, , % 8, , % 2, , % 7, , % Operating Profit Non Operating Income/Expense Income Before Tax % (20.7) % (395.0) (204.2) % (224.9) Net Income % (183.8) Turn to Profit Turn to Profit Turn to Profit 5

6 Revenue Breakdown Posted an Operating revenue of 3,126.2 billion KRW in 3Q Increased 26.2% (YOY), Historically the highest quarterly figure Cargo 30.2% Flight Operation Related 0.3% Others 7.2% International Passenger 53.9% Aerospace 2.9% Catering 0.5% Hotel/Limousine 0.3% Domestic Passenger 4.7% 6

7 #, 3300 #, 2300 #, 1300 #, 300 #, #, 1700 Continuous increase in Op Profit Operating profit has increased each quarter since 3Q 2009 and recorded historically the highest figure in 3Q 2010 (Unit : Billion KRW) 11.9% Historically the highest % 12.4% 11.5% 7.5% % % % % % 0.8% % % % 6% Q 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 10 3Q 7

8 Passenger Traffic Domestic Passenger International Passenger Q Q Changes Q Q Changes Supply (mil ASK) 1,073 1, % 19,680 19, % JUL % 6,517 6, % AUG % 6,939 6, % SEP % 6,225 6, % Traffic (mil RPK) % 15,431 14, % JUL % 5,185 4, % AUG % 5,493 5, % SEP % 4,753 4, % L/F (%) 67.0% 59.7% 7.3%p 78.4% 74.7% 3.7%p YIELD (Cent) % % YIELD (KRW) % % 8

9 Passenger Traffic & Yield changes Recorded 16.1 billion RPK, Historically the highest in all quarters Deviation between low & high season is maintained below 5%p in 2010 RPK Load RPK Factor Load Factor Yield 5, % 5, % 10 4, % 9 4, % 8 3, % 7 3, % 6 2, % 5 2,000 (Million) % 9

10 Passenger Revenue by Route Passenger Revenue increased billion KRW (21.4%) by YOY Q (1,506.2 billion KRW) Domestic 8.9% Q (1,828.9 billion KRW) Domestic 8.2% Europe 16.3% Japan 14.5% Europe 14.8% Japan 15.6% America 34.4% China 9.5% America 34.4% China 10.9% Oceania 5.6% SEA 10.8% Oceania 4.9% SEA 11.2% 10

11 Passenger Revenue by Region Sales Korea outbound passenger increased 23% while overseas/transit passenger increased 8% by YOY Q (1,506.2 billion KRW) Europe 6.0% Q (1,828.9 billion KRW) Europe 5.3% SEA 6.3% America 17.3% Korea 49.0% SEA 4.2% America 18.5% Korea 50.4% China 6.2% Japan 15.2% China 7.4% Japan 14.2% 11

12 Cargo Traffic Q Q Changes Supply (mil AFTK) 3,216 2, % JUL 1, % AUG 1, % SEP 1, % Traffic (mil FTK) 2,402 2, % JUL % AUG % SEP % L/F (%) 74.7% 76.4% -1.7%p YIELD (Cent) % YIELD (KRW) % 12

13 Cargo Traffic & Yield changes Traffic increase trend has been maintained since H Semiconductor & Auto parts / Display products FTK Load Factor FTK Yield Load Factor 1, % % % % 65.0% % % (Million) % 13

14 Cargo Revenue by Route Cargo Revenue increased billion KRW (42.2%) by YOY Q (663.7 billion KRW) Q (943.6 billion KRW) Europe 26.2% Domestic 0.9% Japan 4.3% China 12.2% SEA 11.8% Europe 27.2% Domestic 0.7% Japan 4.7% China 9.8% SEA 12.1% America 43.3% Oceania 1.3% America 44.5% Oceania 1.0% 14

15 Cargo Revenue by Region Sales Significant revenue increase in Japan region : +81% by YOY Korea region sales increased 36% by YOY Q (663.7 billion KRW) Q (943.6 billion KRW) America 10.3% SEA 12.5% Europe 8.2% Korea 32.1% America 9.2% SEA 10.6% Europe 8.6% Korea 31.9% China 28.5% Japan 8.4% China 28.6% Japan 11.1% 15

16 Expense Breakdown 영업수익 Qx 억원 (2,376.5 bil KRW) Q (2,768.1 bil KRW) Maintenance 6.0% Others 20.4% Sales Commission 7.0% Airport Related 9.6% Depreciation 8.5% Jet Fuel 32.1% Labor 13.0% Rental 3.4% Maintenance 6.4% Sales Commission 4.5% Airport Related 9.8% Others 19.9% Depreciation 7.9% Rental 2.9% Labor 15.8% Jet Fuel 32.8% 16

17 Key Expenses (Unit : Billion KRW) Q Q Changes Jet Fuel % Consumption Amt(Mil bbl) % Average Unit Price (USD) % Labor % No. of Employees 19,399 19, % Rental % No. of Rented A/C (as end of 2Q) % Depreciation % No. of A/C (as end of 2Q) % Maintenance % 17

18 Non-Operating Expenses Translation gain due to KRW appreciation Interest Expense increased slightly (+1.3% YOY) (Unit : Billion KRW) Q Q Description Translation Gain Jun 30 : 1, Sep 30 : 1, ( 68.3 difference per 1$) Interest Expense

19 Fleet Status Fleet Type Current Status (as of SEP 2010) Delivery in 4Q 2010 A A A B B B B Passenger TTL B747F 24 0 B777F 0 0 Cargo TTL 24 0 Total Fleet rented out to Jin Air & Uzbekistan Airways are excluded 19

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