Amadeus delivers solid financial results in the first half of 2017
Amadeus’ financial performance was positive in the first six months of the year. This was supported by strong operating performances in our businesses and the consolidation effect of Navitaire.
First half of the year highlights (six months ended June 30, 2017)
- Revenue increased 9.5%, to €2,490.7 million
- EBITDA grew 10.1%, to €998.9 million
- In the Distribution segment, total travel agency air bookings rose to 295.2 million, which represents growth of 5.7%
- In IT Solutions, Passengers Boarded increased 19.8% to 753.4 million
Amadeus IT Group, S.A., a leading technology partner for the global travel industry, achieved adjusted profit of €574.0 million during the first half of 2017. This represents an increase of 16.1% compared to the same period last year. From January to June, Amadeus’ revenue grew 9.5%, to €2,490.7 million, while EBITDA increased 10.1% to €998.9 million.
Luis Maroto, President & CEO of Amadeus, commented:
“Amadeus’ progression in the first half of the year was positive. Our businesses performed well and completed important milestones successfully, such as the migration of Southwest Airlines’ domestic flights to Altéa”.
“Our Distribution segment continued to grow ahead of the industry, which allowed us to improve our competitive position. In IT Solutions, we had important migrations that have contributed to the expansion of our international footprint. In the first half of the year 56.8% of our passengers boarded were generated outside of Europe”.
“We look forward to the second half of the year with confidence”.
Financial highlights for the first half of the year
Our shareholders approved the annual gross dividend from the 2016 profit during the Annual General Meeting, held on June 15, 2017. The total value of the dividend increased 21.3% compared to the previous year, to €412.5 million. This represents a pay-out of 50%, or €0.94 per share (gross). Regarding the payment, a complementary dividend of €0.54 per share was distributed on June 30. An interim dividend of €0.40 per share was paid in February.
Consolidated debt as per our financial covenants’ terms amounted to €1,975.1 million at June 30, 2017 (1.10 times last-twelve-month covenant EBITDA). In May we issued Eurobonds (under the Euro Medium Term Note Programme) for a value of €500 million, with a maturity of two years and an annual coupon of 0.0%. The issue price was 99.932% of their nominal value.
In July, Standard and Poor’s affirmed its “BBB/A-2” Credit Rating and the positive outlook for Amadeus.
Business highlights for the first half of the year
- Revenue increased to €1,635.5 million, 7.6% more than in the same period of 2016
- Travel agency air bookings registered growth of 5.7% to 295.2 million – outperforming GDS industry growth of 4.3%
The positive performance of our Distribution segment was supported by growth in travel agency air bookings. These increased across all regions, which contributed to an increase in our travel agency air competitive position of 0.5 percentage points, to 43.6%. Latin America and Asia and Pacific continued to be our fastest-growing regions, increasing 14.7% and 10.0% respectively.