14 November 2024
ENAV BoD: results for the first nine months of 2024 approved
All-time record air traffic over Italy driven by international flights
- En-route and terminal traffic up 10.8% and 10.7%, respectively, in terms of service units[1] compared to the first nine months of 2023;
- Consolidated revenue of 770.5 million euro, up 4.1% compared to the first nine months of 2023;
- Consolidated EBITDA of 222.8 million euro, up 1.3% compared to the first nine months of 2023, with an EBITDA margin of 28.9%;
- Consolidated net profit at 89.6 million euro, up 3.8% compared to the first nine months of 2023;
- Free cash flow at 130.6 million euro, with a significant improvement compared to the first nine months of 2023 (96.6 million euro).
Rome, 14 November 2024 - The Board of Directors of ENAV S.p.A., held today under the chair of Alessandra Bruni, approved the Interim Report on Operations at 30 September 2024.
The first nine months of 2024 were impacted by continued robust growth in air traffic, reaching the highest level ever achieved. Italy is confirmed as the best performer among the major European countries, with a 10.8% increase in en-route service units in comparison with the same period of the last year, compared to the average growth of 7.0% in France, Germany, Great Britain and Spain.
Chief Executive Officer Pasqualino Monti said: "In Italy, air traffic volume has exceeded forecasts and for the full year we expect a double-digit growth over 2023. The Group is solid and the excellent results today approved are in line with our year-end targets.
The new organizational model, which aims to separate competences and activities between core business and the non-regulated market, will accelerate the digital transition to enhance the airspace management, also promoting drone development, and strengthening the Company's presence in international markets. We are developing new products and services, which are currently being implemented and which will upgrade our commercial offer."
En-route traffic, expressed in service units, showed a growth of 10.8% in the first nine months of 2024, compared to the same period in 2023. Domestic air traffic (arrivals and departures at Italian airports) is substantially stable (+0.8%) compared to 2023, while international traffic service units (arrivals or departures from a foreign airport) grew by 16.2%. Overflight traffic (flights crossing Italian airspace without stopover) increased by 10.5%.
Terminal traffic in the nine months of 2024 grew by 10.7%, in terms of service units, compared to the corresponding period of 2023. The increase in traffic volumes was spread throughout Italy. Charging zone 1, referring entirely to Rome Fiumicino airport, increased by 24.5% compared to the same period in 2023. Charging zone 2, represented by the airports of Milan Malpensa, Milan Linate, Venice Tessera and Bergamo Orio al Serio, recorded an 8.1% increase in service units in the first nine months of 2024. Finally, charging zone 3, which includes all other national airports, recorded a 6.7% increase in service units.
ECONOMIC-FINANCIAL PERFORMANCE
Total consolidated revenues in the first nine months of 2024 accounted for 770.5 million euro, up 4.1% compared to the corresponding period of the previous year and include the negative balance component of 59.5 million euro.
Revenues from operations stood at 803.9 million euro, up 6.2% compared to the first nine months of 2023, mainly due to the positive performance of the core business.
Reveneus from the non-regulated market, amounting to 25.8 million euro, decreased by 3.2% compared to the figure for the corresponding period of the previous year, mainly due to a different distribution of revenues over the current year compared to 2023. In the last part of the year, the revenue targets on the non-regulated market for 2024 will be met, confirming the target announced to the financial community last March.
Total operating costs for the first nine months of 2024 amounted to 547.6 million euro, with an increase of 5.3% compared to the corresponding period of 2023. The increase was mainly due to a higher impact of personnel costs (+4.1%), which reflected both the salary increase related to the 2% revaluation, in line with the agreements signed in November 2022, which resulted in two steps, one from September 2023 and the other from July 2024, and the higher headcount at Group level, especially operational and technical staff. The variable component of remuneration also increased due to the higher traffic volumes managed.
Consolidated EBITDA stood at 222.8 million euro for the first nine months of the year, up 1.3% (+2.9 million euro) compared to the same period of 2023 with an EBITDA margin of 28.9%.
Consolidated Operating Result (EBIT) amounted to 139.5 million euro, up 5.9% compared to the first nine months of 2023 (131.7 million euro), with an EBIT margin of 18.1%.
EBIT is impacted by amortisation, net of grants, for 82.4 million euro, down compared to the corresponding period of the previous year (-2.8%), and by the write-off of receivables, which had a negative impact of 0.9 million euro, net of the release of the risk provision for the settlement of some disputes, with an improvement of 2.5 million euro compared to 9M 2023.
Financial income and expenses stood at a negative 7.2 million euro, slightly improving by 0.5 million euro compared to the corresponding period of the previous year, due to the higher interest income accrued on bank accounts and the financial component relating to the balance actualization, offsetting the higher interest expense on bank debt.
Taxes for the period accounted for 42.6 million euro, with an increase of about 5 million euro compared to the corresponding period of 2023, due to the higher tax base and the deferred taxes dynamics.
Consolidated net profit stood at 89.6 million euro, up 3.8% compared to the same period of 2023.
Net financial debt as at 30 September 2024 accounted for 331.8 million euro, with an increase of 9.5 million euro compared to 31 December 2023, mainly due to the higher non-current trade payables related to the balances recognised in the period, partially offset by the positive operating performance.
It should be noted that, as at 30 September 2024, the Group had undrawn short-term credit lines totalling 199 million euro, of which committed lines of 150 million euro and uncommitted lines of 49 million euro. In addition, the Group has a loan commitment of residual 80 million euro relating to the loan contract signed by the Parent Company with the EIB in October 2023 for an original amount of 160 million euro.
2024 OUTLOOK
In view of the traffic volumes expected in the last quarter, which support the Group's solid performance, the traffic estimates for the current year are revised upwards (+10.8% en-route service units compared to 2023); 2024 Outlook on total revenues, non-regulated market revenues, EBITDA and capex remain unchanged.