Amadeus Announces First Half Financial Results for 2011

  • Amadeus
  • 08.04.11
Amadeus IT Holding, S.A. (Amadeus: “AMS.MC”), parent company of the Amadeus Group, a leading transaction processor and provider of advanced technology solutions for the global travel and tourism industry, has announced year-on-year financial and operating results for the first half of 2011 (six months ended June 30, 2011).

Adjusted profit for the first half increased 12.2 percent to reach €263.7 million. This was backed by a growth in revenue from continuing operations of 3.9 percent to €1,389.0 million and an improvement in EBITDA of 6 percent to €572.1 million. Excluding the impact of the sales of equity stakes in and Hospitality Group during 2010, and the impact of a change in treatment of certain bookings within IT Solutions, revenue grew by 5.8 percent.***

During the second quarter of the year Amadeus successfully refinanced its debt with a new €2.7 billion senior unsecured financing. Amadeus’ consolidated net financial debt on June 30, 2011 was €1,895.8 million (based on covenants’ definition), representing 1.82x last twelve months’ EBITDA. With the benefit of the net proceeds of the sale of Opodo, this figure was down by €675.5 million or 26.3 percent versus December 2010.

Luis Maroto, president and CEO of Amadeus, said, "This has been a positive and active first half of the year. At an operational level, both our distribution and IT solutions businesses continued to grow and in particular had significant successes in the Asia-Pacific region, adding further visibility to our future growth. In Distribution, our global market share of air travel agency bookings increased by 0.8 percentage points and an important partnership was signed with TOPAS, a subsidiary of Korean Air, to launch a reservation system using Amadeus technology, which will handle more than 50 percent of all travel agency bookings in Korea. In IT Solutions, the number of passengers boarded increased by 32.5 percent, and we signed further Amadeus Altéa Suite contracts with leading global airlines such as All Nippon Airways (ANA) for its international flights, Korean Air and Thai Airlines. We are confident that our ongoing investment in developing the best technology will continue to produce long-term results and now expect our annual passengers boarded (PB) to be more than 700 million by 2014.”*******

“This period also includes many non-operating key developments, such as the agreement to refinance our debt through a new senior unsecured credit facility, the assignment of an investment grade rating by both Standard & Poor’s and Moody’s, and the completion of the sale of Opodo following the approval of the European Commission.”

“From a financial perspective, the results are also encouraging: year-on-year EBITDA grew by 6 percent to €572.1 million, adjusted profit rose by 12.2 percent to €263.7 million, and net debt decreased by €675.5 million to represent now only 1.82x last twelve months’ EBITDA. We look forward to the second half of the year with confidence.”
*Excluding after-tax impact of: (i) amortisation of PPA and impairment losses, (ii) changes in fair value from financial instruments and non-operating exchange gains / (losses) and (iii) extraordinary items related to the sale of assets and equity investments, the debt refinancing and the United Airlines contract resolution
**Revenue from continuing operations (excluding Opodo)
***In 2010 we sold our equity stakes in and Hospitality Group. 2011 figures therefore do not include any revenue from these subsidiaries. Also, revenue comparability in Q1 2011 was affected by a change in the treatment of certain bookings within IT Solutions (direct distribution) as explained in the Q1 financial report, based on which the related revenue is recognised net of certain costs. The 5.8% revenue growth excludes both impacts
****EBITDA from continuing operations (excluding Opodo)
******Adjusted to exclude extraordinary items related to the IPO
******Passengers Boarded (PB): actual passengers boarded onto flights operated by airlines using at least the Amadeus Altéa Reservation and Inventory modules. A PB is the key metric for charging in the Amadeus IT transactional revenue business line
*******2014 estimated annual PB calculated by applying the IATA’s regional air traffic growth projections to the latest available annual PB figures, based on public sources or internal information (if already in our platform)

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