Report
EUR 100.00
For Business Accounts Only
Sales: € 1.303 Bn (-78.7% vs. -78.5% BS(e) and -78.7% consensus);
EBIT: € -1.165.0 M (€ 765.0 M in FY2019 vs. € -1.272.0 M BS(e) and € -1.252.0 M consensus);
Net Profit: € -1.149.0 M (€ 573.0 M in FY2019 vs. € -1.280.0 M BS(e));
FY2020 vs. FY2019 Results
Sales: € 7.844 Bn (-69.2% vs. -69.2% BS(e )and -69.3% consensus);
EBIT: € -4.355.0 M (€ 3.285 Bn in FY2019 vs. € -4.462.0 M BS(e) and € -4.442.0 M consensus);
Net Profit: € -4.325.0 M (€ 2.387 Bn in FY2019 vs. € -4.456.0 M BS(e)).
Results came in above expectations on the operating level thanks to better performance in costs (especially personnel costs) than expected.
As for the outlook, the company expects capacity in 1Q’20 to stand at ~20% of 1Q’19 levels. It claims that the outlook beyond the 1Q’21 is uncertain and will depend on the vaccination campaigns and border policies.
As for net debt (cash burn rate), performance was better than expected (€ 9.76 Bn vs. € 10.62 Bn BS(e)) thanks mainly to lower Capex than announced by the company (with gross capex standing at € 1.9 Bn vs. the company’s guidance of € 2.7 Bn and BS(e)). Separately, IAG claims to have sufficient liquidity to operate normally until March 2022 (no specific details were provided), which would reduce the probability of a rights issue. We estimate that IAG will no longer burn cash when it hit capacity levels of ~40% vs. those from 2019 (although this will also depend on the product mix and the recurrence of the cost saving measures taken). We expect a positive share price reaction, not so much for the results, but for the comments made on its financial/liquidity position, despite the fact that operating visibility is limited. BUY. Target Price: Under Revision.
IAG: 4Q’20 RESULTS (ANÁLISIS BANCO SABADELL)
4Q'20 vs. 4Q'19 ResultsSales: € 1.303 Bn (-78.7% vs. -78.5% BS(e) and -78.7% consensus);
EBIT: € -1.165.0 M (€ 765.0 M in FY2019 vs. € -1.272.0 M BS(e) and € -1.252.0 M consensus);
Net Profit: € -1.149.0 M (€ 573.0 M in FY2019 vs. € -1.280.0 M BS(e));
FY2020 vs. FY2019 Results
Sales: € 7.844 Bn (-69.2% vs. -69.2% BS(e )and -69.3% consensus);
EBIT: € -4.355.0 M (€ 3.285 Bn in FY2019 vs. € -4.462.0 M BS(e) and € -4.442.0 M consensus);
Net Profit: € -4.325.0 M (€ 2.387 Bn in FY2019 vs. € -4.456.0 M BS(e)).
Results came in above expectations on the operating level thanks to better performance in costs (especially personnel costs) than expected.
As for the outlook, the company expects capacity in 1Q’20 to stand at ~20% of 1Q’19 levels. It claims that the outlook beyond the 1Q’21 is uncertain and will depend on the vaccination campaigns and border policies.
As for net debt (cash burn rate), performance was better than expected (€ 9.76 Bn vs. € 10.62 Bn BS(e)) thanks mainly to lower Capex than announced by the company (with gross capex standing at € 1.9 Bn vs. the company’s guidance of € 2.7 Bn and BS(e)). Separately, IAG claims to have sufficient liquidity to operate normally until March 2022 (no specific details were provided), which would reduce the probability of a rights issue. We estimate that IAG will no longer burn cash when it hit capacity levels of ~40% vs. those from 2019 (although this will also depend on the product mix and the recurrence of the cost saving measures taken). We expect a positive share price reaction, not so much for the results, but for the comments made on its financial/liquidity position, despite the fact that operating visibility is limited. BUY. Target Price: Under Revision.
Underlying
International Consolidated Airlines Group SA
International Airlines Group is an international scheduled airline and global premium airlines. Co.'s principal place of business is London with significant presence at Heathrow, Gatwick and London City airports.
Provider
Sabadell
Francisco Rodriguez
Other Reports on these Companies
Other Reports from Sabadell
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.