Pegasus Hava Tasimaciligi Anonim Sirketi (PGSUS) Q2 2024 earnings summary

Executive summary

• Total revenue reached €763mn in Q2 2024, up 16% year-over-year, with net income at €112mn, a 23% increase year-over-year.

• Passenger numbers rose 19% year-over-year in Q2 2024, with international passengers up 15% and load factor at a record 87.5%.

• Achieved 23% year-over-year passenger growth to 17.43 million in H1 2024, with a load factor of 87.3% and 108 aircraft in the fleet as of June 30, 2024.

• Revenue rose 84% year-over-year to ₺43.96 billion, but net profit declined 63% to ₺496 million due to higher costs and financial expenses.

• International route network expanded to 106–138 destinations across 53 countries.

Financial highlights

• EBITDA for Q2 2024 was €230mn, up 4% year-over-year, with an EBITDA margin of 30.1%.

• Sales reached ₺43.96 billion, up 84% from H1 2023; gross profit increased 44% to ₺5.95 billion.

• Net profit for the period fell 63% to ₺496 million; EPS dropped 78% to ₺2.92.

• Cash and cash equivalents increased 92% to ₺30.8 billion; financial liabilities rose 48% to ₺136.8 billion.

• Ancillary services contributed 36% of total revenue; cargo and charter flights made up 2%.

Outlook and guidance

• Total ASK growth for 2024 is projected at 12–14%, up from previous 10–12% guidance.

• RASK expected to remain flat year-over-year in 2024, with mid- to high-single-digit growth in ancillary revenue per passenger.

• S&P affirmed long-term credit rating at B+ (stable outlook); new debt issuance of up to $750 million approved for international markets.

• Ongoing capital increase to ₺500 million registered and bonus share rights commenced in May 2024.