Norwegian reports a profit for the second quarter

• Total operating revenue for the quarter amounted to MNOK 531.3. In comparison, second quarter 2004 total revenue amounted to MNOK 311.1, an increase of 71%.     
• Total earnings before depreciation, write-down and leasing costs for aircraft (EBITDAR) amounted to MNOK 61.5 in second quarter, compared to MNOK -7 in second quarter 2004.
• Total earnings before depreciation and write-down (EBITDA) amounted to MNOK 30.8. EBITDA for second quarter 2004 amounted to MNOK -36.3.
• Earnings before tax (EBT) was MNOK 20.6, compared to MNOK -38,1 in Q2 2004.
• Earnings after tax amounted to MNOK 14.6, compared to MNOK -27.4 in Q2 2004.
• The total number of passengers transported in second quarter was 867 796 compared to 572 253 in Q2 2004, an increase of 52 %.
• Total passenger traffic (RPK) increased 69% compared to the same period in 2004.
• The passenger load factor was 78% in second quarter 2005, compared to 67% in Q2 2004, an increase of 11 percentage points.
• The total production (ASK) has increased to 940 million ASK in second quarter compared to 642 million in the same period last year, an increase of 46 %.
• The company has a cash reserve of MNOK 233.4 at the end of the quarter. The equity ratio of the company is 20%.
• Total units cost (cost per ASK) for the quarter was NOK 0,53, compared to NOK 0,54 in the same period last year.
• In spite of higher fuel costs, we have managed to keep our costs down; our costs are actually lower than expected. This shows that our continued focus on cost control has delivered results. We expect the price of oil to stay high in the coming months, but believe that we will be able to maintain a competitive cost base, which will help us post a profit for the year as a whole, said Kjos.

Traffic Development

In second quarter, a total of 867 796 passengers flew with Norwegian, compared to 572 253 the same period last year. This is an increase of 52%. The passenger load factor for the second quarter was 78% compared to 67% in the same period in 2004. Production (ASK) is increased by 46% and passenger traffic (RPK) has increased 69%, compared to the same period last year. The growth is related to the company’s expansion during the year. The company has had 13 aircraft in operation in second quarter, compared to 11 planes in the same period in 2004. The utilisation of the planes has been improved following the expansion, and the average utilization has been 9,6 block hours per day, compared to 7,6 block hours in the same period in 2004.

The share of total production (ASK) on international routes was 63% in second quarter, compared to 45% in the same period last year. 44% of the passengers transported in the quarter was on international routes, compared to 24% in 2004.

The share of sales via the Internet was 75% in the period compared to 64% in the same period in 2004.

Norwegian is Norway’s leading low cost carrier and started its operations 1st September 2002 with four domestic routes and six aircraft – Boeing 737-300. Today Norwegian has 13 aircraft (all Boeing 737-300) and operates nine domestic routes and 35 European routes from different cities throughout Norway. The company has 550 employees and the headquarters are located at Fornebu, Oslo. Norwegian has a code share with FlyNordic on the Oslo-Stockholm route and also a code share with Sterling on 13 different routes from Norway to various European destinations. For further information, please visit our website: www.norwegian.no