The Norwegian Group delivered an operating profit (EBIT) of NOK 593 million in the second quarter of 2024. The quarter was characterised by strong capacity and passenger growth, but also slightly lower demand impacting ticket prices. In the quarter, the company performed well operationally, with improved cost level and strong cash flow.
Financial Performance
- Operating Profit (EBIT): NOK 593 million (6.3% operating margin)
- Profit Before Tax (EBT): NOK 477 million
- Liquidity Position: NOK 11.5 billion, up by NOK 1.1 billion from Q1 2024
Operational Highlights
- Fleet Size: 86 aircraft (22 are 737 MAX 8); Widerøe fleet: 49 aircraft
- Passenger Numbers: 7.3 million total (Norwegian: 6.3 million, Widerøe: 1.0 million)
- Passenger Growth: Increase of 680,000 for Norwegian and 122,000 for Widerøe year-over-year
Operational Metrics
- ASK (Available Seat Kilometres): Norwegian up by 19% to 10.3 billion; Widerøe up by 2%
- Load Factor: Norwegian at 82.4% (down 2 percentage points); Widerøe at 70.2% (up 5 percentage points)
- Punctuality: Norwegian at 80.8%; Widerøe at 91.4%
- Regularity: Norwegian at 99.2%; Widerøe at 97.4%
Recognition
- Norwegian was named Europe’s most punctual airline in May by Cirium.
Route Expansion
- New Routes: 27 new routes for the winter, including Dubai, Agadir, and Hurghada, and additional routes to Tromsø and Harstad/Narvik.
Future Outlook
- Production Growth Forecast: 12% increase for 2024; slower growth expected due to Boeing delivery delays.
- Fleet Expansion: Projected to exceed 90 aircraft by summer 2025.
CEO Geir Karlsen highlighted the strong operational performance and the benefits of the expanded route network, with high passenger growth and punctuality contributing to a successful second quarter.
