60px

451px

Amadeus

Blog

Amadeus publishes financial results for the first half of 2013

Elena Ávila

Executive Vice President, Head of Americas, Airlines, Amadeus IT Group

We have just announced this morning our financial results for the first half of 2013 (the six months ended June 30, 2013).

amadeus_nice

Once again, we have been successful and maintained our track record for steady growth – with both business lines performing strongly.

Please allow me to bring to your attention the headline financial metrics (all of the following figures are on a year-on-year basis, compared to same period in 2012):

  • Revenue rose 5.7% to €1,595.1 million
  • EBITDA increased 6.3%[1]to €645.9 million
  • Adjusted profit[2]grew 5.2% to €349.6 million
  • This was driven by continued growth in our two principle business lines – Distribution and IT Solutions. When compared against the same period last year:
  • Distribution increased market share of travel agency air bookings by 1.7 percentage points. This was a highly significant achievement, as it meant that we reached the 40.0% market share threshold. This drove our air travel agencybookings up by 5.8% to 233.1 million, which in turn drove revenue up 5.0%.
  • IT Solutions saw 9.7% more Passengers Boarded (PB), totalling 284.1 million, due to organic growth and further migrations. Other areas within IT Solutions also continued to deliver strong growth, helping raise revenues by 8.0%.

This performance has been slightly ahead of market expectations in most areas, reinforcing the company’s track record in delivering as promised to our shareholders. This is particularly important in the current economic context, when many companies, both in Spain and elsewhere, are presenting disappointing financial results and are being penalised by the financial markets.

During the period we received confirmation of our financial health and the strength of our business model, with both Moody’s Investors Service and Standard & Poor’s – the independent providers of credit ratings for investors –raising their respective credit ratings for Amadeus .

Our President & CEO, Luis Maroto, commented:

Today’s results underline our consistent success in anticipating and developing cost-effective technology that benefits our customers. Despite the sector’s considerable technological complexity and economic challenges, our innovation helps customers adapt and compete.

Once again, Distribution increased market share, this time by 1.7 percentage points – reaching the 40% threshold – and bookings by 4.7%. Once again, IT Solutions grew Passengers Boarded, this time by 9.7%. Revenues rose 5.7%, EBITDA improved 6.3%. Most significantly, we continued our record of consecutive growth in adjusted profit: up 5.2% to €349.6 million.

Continued investment in product evolution and portfolio expansion was key to our growth record, attracting customers such as Munich and Copenhagen airports recently. Innovative bespoke offerings also drove retention, such as the new American Airlines deal.

As such, we remain committed to R&D to drive growth. Distribution, where we are pioneering merchandising and next-generation search, still represents real opportunity. For instance in Airline IT, where we are expanding our portfolio both to upsell and attract additional customers with solutions such as Revenue Accounting, Revenue Management and Loyalty. In addition, several other areas also present exciting potential, not least recent examples of IT solutions for airport operations, rail and hotels.

We are working hard for our customers to ensure that the rest of the year repeats this success.

To discover more information, feel free to review our press release and other documents published today via the Investor Relations website – which also has a great deal of other background information and facts of interest to the investor community.

With regards to further quarterly financial results, around November we will be publishing our financial results for the third quarter of 2013. An exact date will be confirmed closer to the time.

Please do not hesitate to email our team at ir@amadeus.com for any further assistance you might require. We'd be pleased to hear from you.


Tags

Financial Results, Investor Relations