Air France-KLM reported that its first quarter 2015 total revenues stood at 5.7 billion euros versus 5.6 billion euros in First Quarter
2014, up 1.8%, but down 2.4% like-for-like.
Article continues below
Currencies had a positive 239 million euro impact on revenues, primarily driven by the strengthening of the US dollar against the euro. In spite of higher profits on currency hedging, the negative impact on costs reached 320 million euros.
It was larger considering the bigger share of costs than revenues in US dollars, and considering the fact that a sizeable portion of First Quarter 2015 revenues were booked in 2014 at a time when the dollar was weaker. In the First Quarter 2015, the net impact of currencies thus amounted to a negative 81 million euros.
Total operating costs were 1.2% higher year-on-year and down 3.9% on a like-for-like basis. Ex-fuel, they increased by 3.3% and by 1.5% on a like-for-like basis. Unit cost per EASK was stable, on a constant currency, fuel price and pension-related expense basis, against stable capacity measured in EASK (+0.1%).
The fuel bill amounted to 1,480 million euros, down 4.7% and like-for-like down 17.6%, on the back of a 20.3% reduction in jet fuel price after hedging and of a 15.6% negative currency impact.
Based on the forward curve at 17 April, the Full Year 2015 fuel bill is expected to reach 6.6 billion euros. Based on the same forward curve, the Full Year 2016 fuel bill could amount to 6.1 billion euros.
Total employee costs including temporary staff were up 2.1% to 1,920 million euros. They included a non-cash increase of 31 million euros in pension-related expenses at KLM due to changes in actuarial assumptions (lower discount rate).
On a constant scope and pension-related expense basis, they were flat (+0.3%). In addition, the Group recorded under "non-current income and expenses" a 56 million euro provision for the Voluntary Departure Plan targeting 800 positions that was announced in February.
EBITDAR amounted to 229 million euros, an improvement of 62 million. ■
The European Union member states have decided to remove checks on persons at the internal land borders with and between Bulgaria and Romania from Jan. 1, 2025, the Council of the EU said.