- Joe Breitfeller
Air France-KLM Group Reports Q4 Net Loss of €127 Million, Full Year 2021 Net Loss of €3.29 Billion
Air France-KLM Group has reported a fourth quarter net loss of €127 million on a 105% increase in revenue versus Q4 2020 to €4.8 billion. For the full year, the Group reported a net loss of €3.29 billion on a year-over-year increase in revenue of 29.1% to €14.3 billion.
On Thursday (February 17, 2022), Air France-KLM Group reported their fourth quarter and full year 2021 financial results for the period ending December 31, 2021. The Group reported a fourth quarter net loss of €127 million on a 104.7 percent increase in revenue to €4.84 billion. For the full year 2021, the company reported a net loss of €3.29 billion on a year-over-year increase in revenue of 29.1 percent to €14.32 billion. At December 31, 2021, Air France-KLM had €10.2 billion in liquidity and available credit lines, and a total net debt of €8.2 billion, a decrease of €2.8 billion versus year end 2020. For 2021, the Group operated at approximately 60 percent of 2019 capacity.
Speaking at a Board meeting held on February 16, 2022, Air France-KLM Group’s CEO, Mr. Benjamin Smith, said,
“The fourth quarter 2021 marked a turning point for Air France-KLM. For the first time since the beginning of the pandemic, the Group posted better than pre-covid results, with a positive operating result. While the end of the quarter saw the return of travel restrictions along with the Omicron variant, the overall performance reflects both the pent-up demand for travel and the outcome of our transformation efforts. The crisis is not over yet, but this makes us optimistic for the future, as we accelerate said efforts to improve our performance from both an economical and environmental standpoint.
“The investments in fleet renewal across all of the Group’s airlines – including the joint order for 100 Airbus A320neo family aircraft with acquisition rights for an additional 60 aircraft and the LOI for 4 Airbus A350F Full Freighter aircraft - embody this goal and emphasize our dedication to preparing for the future today. I would like to thank our customers for their trust, and our employees for their unyielding commitment to the Group throughout another challenging yet rewarding year.”
During the fourth quarter, Air France added one Airbus A350-900 and five A220-300s, while phasing out one A320, three A318s, four Canadair Jet 700s and four Embraer 145s. During the same period, KLM added three Embraer E195 E2s and phased out one Boeing 737-700.
The Group’s fourth quarter cargo capacity increased by 10.5 percent in Available Ton Kilometers (ATKs) compared to Q4 2020, largely attributable to an increase in belly hold capacity. Traffic decreased 3.8 percent, resulting in a decrease in load factor of 9.6 points. However, due to an increase in yield, the unit revenue per ATK improved by 5.0 percent at constant currency. Fourth quarter cargo capacity was still 16 percent lower than Q4 2019, while revenues increased 82 percent compared to the same quarter in 2019 on sustained high demand.
Source: Air France-KLM Group