ENAV (ENAV) H1 2024 earnings summary

Executive summary

• Managed over one million flights in H1 2024, with Italy leading major European nations in traffic growth at 10.9% year-over-year in service units, driven by robust travel demand and operational efficiency.

• Net profit for the first half of 2024 rose 25.3% year-over-year to €23.2 million, supported by strong air traffic growth and higher core business revenues, despite a reduction in the en-route unit rate and increased operating costs.

• Revenues from operations increased by 6.0% to €469.1 million, with core business revenues up 6.9% and non-regulated market revenues down due to lower activity in Qatar.

• Continued expansion in non-regulated business with new international contracts, though non-regulated revenues declined €2.8 million year-over-year due to contract phasing.

• Significant investments in technological infrastructure and operational improvements, including early adoption of the free route procedure.

Financial highlights

• Total revenues reached €461.3 million, up 5.7% year-over-year, driven by core business and traffic growth.

• EBITDA rose 5.5% to €99.9 million, with a margin of 21.6%.

• EBIT was €42.7 million, up 29.5% year-over-year, with a margin of 9.3%.

• Net income increased 25% to €23 million compared to €18.4 million in H1 2023.

• Free cash flow improved to €28.3 million from negative €3.2 million in H1 2023.

Outlook and guidance

• 2024 outlook confirmed, with expectations of continued strong performance and achievement of previously communicated targets; potential for upward revision after the summer season based on traffic trends.

• Performance plans for 2025-2029 are being developed in line with new EU efficiency and capacity targets, with final approval expected by early 2025.