Thursday, March 7, 2024
Following a modestly positive outcome in 2022, Austrian Airlines decisively bounced back to profitability in 2023. For the year, the airline reported an Adjusted EBIT of 127 million euros, buoyed primarily by steady flight operations and a continued strong desire for travel among the public. The number of passengers surged by 24% to 13.9 million, nearly reaching the pre-pandemic figure of 14.7 million recorded in 2019.
Breaking down the annual performance further:
In 2023, Austrian Airlines witnessed a significant revenue jump, increasing by 25% from 1.871 billion euros the previous year to 2.346 billion euros. Total revenue saw a 23% rise to 2.406 billion euros, with total expenses climbing by 17% to reach 2.279 billion euros. Consequently, the Adjusted EBIT for Austrian Airlines stood at 127 million euros, a marked improvement from the 3 million euros recorded in 2022. By the end of December 2023, the airline’s workforce numbered 6,121, marking an 8% increase.
Moreover, the airline expanded its seat-kilometres by approximately 25% to 25.4 billion in 2023, up from 21.7 billion the previous year. The load factor improved to 81.9%, up by 2.5 percentage points from 79.4% in 2022. Austrian Airlines successfully operated 98.9% of its scheduled flights.
Excellent team performance and strong demand form the foundation
“We worked hard as a team, achieved top results in terms of regularity and punctuality and demand was high. The very good annual result triggers a profit-sharing payment totalling more than 30 million euros to all employees and thus honours the fact that this success was of course achieved together as a team”, says a delighted Austrian Airlines CEO Annette Mann. She continues: “However, the general conditions in the aviation industry and at the location remain challenging due to geopolitical uncertainties and various political decisions. Overall, we were very satisfied with 2023, but we will have to do a lot to ensure that this success does not remain a one-hit wonder!”
Following the triumphs of the previous year, Austrian Airlines is accelerating the upgrade and enlargement of its long-haul fleet sooner than anticipated. The airline is set to welcome the first two Boeing 787-9 Dreamliner long-haul jets in early 2024, initiating a significant step in its fleet development. After a series of introductory short-haul flights for crew training, these aircraft will join the North American long-haul routes by the early summer. This addition will expand Austrian’s long-haul fleet to 11 planes, increasing its total fleet to 68. By 2028, Austrian plans to enhance its fleet further with nine additional Dreamliners, which will progressively replace the older B777 and B767 long-haul models.
Moreover, since October 2022, Austrian Airlines has enhanced its fleet with five new Airbus A320neo aircraft, with the fifth making its inaugural commercial journey in February 2024. “Alongside the step-by-step modernization and growth of our fleet, we’re thrilled to announce our leading punctuality performance in 2023. Ranking as the third most punctual airline in Europe last year is a testament to our team’s dedication and our commitment to our passengers,” stated COO Francesco Sciortino.
Since October 2022, the Austrian fleet has been augmented with five new Airbus A320neo aircraft. The commercial maiden flight of the fifth aircraft took place in February 2024.”In addition to the gradual modernisation and expansion of our fleet, we are delighted to have achieved top punctuality figures in 2023. Last year, we were the third most punctual airline in Europe. This makes us proud as a team and underlines our reliability towards our guests”, explains COO Francesco Sciortino.
Prospects for the current fiscal year
In 2024, a high level of team spirit and ambition will be essential. This is particularly due to the fact that Austria’s inflation rate remains higher than the average across the eurozone.
“We started the new year with a tailwind from 2023. But 2023 must not remain a one-hit wonder! We must make every effort to remain internationally competitive. The issues of inflation and location costs in Austria require discipline and planning. Every additional percentage point of inflation in Austria costs us 25 million euros per year. As an airline, we are in global competition and must therefore keep our ticket prices attractive for our international guests,” emphasises Annette Mann. In the coming years, Austrian will be investing around three billion euros (list price) in the modernisation of its long-haul fleet. “We not only want to maintain our leading position, we want to expand it. This is also necessary in order to be able to finance the high investments in our fleet and further growth”, concludes Annette Mann.
Overview of key facts and figures 2023 (rounded):
| 1-12 2023 | 1-12 2022 | Change YOY2022 | |
| Revenue in € million | 2,346 | 1,871 | +25% |
| Adj. total operating revenue in € million | 2,406 | 1,949 | +23% |
| Adj. total operating expenditures in € million | 2,279 | 1,946 | +17% |
| Adjusted EBIT in € million | 127 | 3 | – |
| EBIT in € million | 127 | -1 | – |
| Passengers in thousands | 13,857 | 11,142 | +24% |
| Available seat kilometers (ASK) in million | 25,444 | 21,700 | +17% |
| Capacity utilization (passenger load factor) in % | 81.9 | 79.4 | +2,5pp |
| Number of flights | 113,417 | 95,040 | +19% |
| Fleet size (fleet in operation) | 66 | 63 | +3 |
| Regularity of operation | 98.9% | 98.8% | +0,1pp |
| Punctuality on departure | 78.9% | 77.3% | +1,6pp |
| Punctuality on arrival | 84.4% | 83.2% | +1,2pp |
Overview of key facts and figures Q4 2023 (rounded):
| Q4 2023 | Q4 2022 | Change YOY2022 | |
| Revenue in € million | 541 | 505 | +7% |
| Adj. total operating revenue in € million | 551 | 521 | +6% |
| Adj. total operating expenditures in € million | 568 | 521 | +9% |
| Adjusted EBIT in € million | -17 | 0 | – |
| EBIT in € million | -16 | 1 | – |
Saturday, April 27, 2024
Saturday, April 27, 2024
