Icelandair's reported a net loss of $20.2 million in 2024, swinging from the previous year's net profit of $11.2 million. Fourth quarter let losses improved from $37.8 million in 2023's fourth quarter to $30.6 million.
Revenues for the year totalled $1.6bn, improving slightly from $1.5bn in 2023. Revenues for the quarter increased $33 million to $348.8 million
Operating expenses were up $63.6 million in the year to $1.4bn, and $9.4 million to $340.2 million. The company's EBIT swung from a positive $21 million in 2023 to a negative $14.2 million in 2024. For the quarter, its EBIT improved $18.1 million to a negative $32.1 million.
Revenue per available seat kilometre (RASK) was up 1% in the quarter to 7.6 cents, and down 6% in the full year to 7.9 cents. Cost per available seat kilometre (CASK) was down 3% in both the quarter and the full year to 8.8 cents and 8.2 cents, respectively. CASK excluding fuel was down 1% in the year to 6.2 cents and up 2% in the quarter to 7 cents.
Passenger numbers were up 12% in the quarter to 1 million and up 9% in the full year to 4.7 million. Passenger load factor improved 6.5 percentage points to 83.3%, and improved 1.1 percentage point to 82.6% for 2024. Capacity increased 5% in the fourth quarter and 11% in the full year.
“We achieved significant improvement in our financial results in Q4 in all business units,” said Icelandair CEO and president Bogi Nils Bogason. “Unit revenue development is turning around, and we managed to mitigate the impact of cost increases in the environment by driving operational efficiencies.”
He added that the “positive financial development” in the fourth quarter will continue into the first quarter of 2025.
“The prospects for 2025 are promising with our current booking status stronger than last year,” he added. “We are planning an 8% increase in capacity, focussed on off peak seasons, which will both improve resource utilisation and provide customers with more travel options than ever before.”
For full year 2025, Icelandair is anticipating revenues of around $1.7bn and an EBIT of $40-60 million, with net capital expenditure to be around $140 and $150 million. Capacity is set to increase around 8% for the full year.
The airline took delivery of its first Airbus aircraft in December 2024 with the arrival of the A321LR. The company is expecting an additional three deliveries of the aircraft before next summer. The airline confirmed its order for 13 A321XLR aircraft with options for an additional 12 aircraft, signed in 2023, will begin deliveries in 2029.
As of year-end, the company's assets were valued at $1.6bn and total equity at $269 million. Net financial liabilities were $382.9 million and total liquidity position was $346.8 million.