Overview
In the first nine months of fiscal year 2022 (April 1, 2022 - December 31, 2022; hereinafter the "nine months ended December 31, 2022"), passenger demand is rapidly recovering with ease of travel restrictions on domestic flights as well as less entry restrictions in various countries for international flights.
Under these economic and operating conditions, the increased revenue is mainly due to the Air Transportation business that contributed to an operating revenue of 1,258.6 billion yen for the nine months ended December 31, 2022. ANA HD recorded an operating income of 98.9 billion yen, ordinary income of 92.3 billion yen, and net income attributable to owners of the parent was 62.6 billion yen.
“With the easing of travel restrictions in the last quarter, we were excited to offer our high-quality customer service to more passengers and serve additional destinations, as reflected by our positive financial performance,” said Kimihiko Nakahori, Executive Vice President and Group Chief Financial Officer of ANA HD. “The ability to do this is a testament to our employees who have persevered over the last few years and worked together to position the ANA Group for the future.”
- 1. International Passenger Service (ANA)
- ・The number of international passengers increased five times year-on-year, and revenue increased by six times, behind strong demand for connections between North America and Asia as well as business demand from Japan resulting from the easing of entry restrictions in various countries. Demand for travel to Japan began to recover from October with the easing of Japan's border control measures.
- ・ANA increased the number of flights on North America and Asia routes to/from Narita Airport to accommodate transit demand and expanded operations on routes to/from Haneda Airport as well in response to recovering demand to/from Japan. ANA has gradually recovered operations of Europe routes despite the continued impact of the Ukraine-Russia conflict, while flights to/from China remain limited due to continued border restrictions in China.
- 2. Domestic Passenger Service (ANA)
- ・With limited impact from the resurgence in COVID-19 cases, passenger demand steadily increased on domestic routes. Starting in October, leisure demand was stimulated by the government's travel support program, and both passenger volume and revenue were 1.9 times higher than in the same period of the previous year.
- ・ANA fully resumed operations of the Boeing 777 aircraft with completed engine refurbishment, actively increasing capacity on certain flights and adding extra flights mainly on weekends and holidays in order to meet recovering demand. In October, ANA started code-sharing on flights operated by Amakusa Airline, Inc. and Japan Air Commuter Co., Ltd. for routes such as Fukuoka - Amakusa and Kagoshima - Tanegashima.
- 3. Cargo Service (ANA)
- ・International cargo volume declined year-on-year as a result of less cargo operations utilizing passenger aircraft temporarily dedicated for cargo transport as passenger demand increased, and a decline in demand for automobile-related parts.
- ・Despite a decline in revenue in the third quarter （October-December） compared to the previous quarter due to softening demand, revenue was higher than in the same period of the previous year for the nine months ended December 31, 2022 as a result of taking in high-yield cargo such as oversized commercial products and capturing demand between Asia and North America.
- 4. LCC (Peach Aviation)
- ・Both passenger volume and revenue were significantly higher year-on-year due to an increase in demand as a result of eased travel and entry restrictions in Japan as well as in various countries.
- ・In response to increasing demand on domestic routes, Peach increased frequency on the Narita - Sapporo route and the Narita - Fukuoka route. For international routes, the Seoul and Taipei routes resumed in August, and the Kansai - Bangkok route was newly launched in December after all flights had been suspended since April 2021.
- 5. Others
Other revenue from the Air Transportation business was 107.6 billion yen (up 11.4% year-on-year from 96.6 billion yen). This includes revenue from the mileage program, in-flight sales revenue, revenue from maintenance contracts and other sources.
Airline Related, Travel Services, Trade and Retail, and Others
- 1. Airline Related
- ・Revenue increased from the same period of the previous year, due to increase in airport handling service support, such as check in service and baggage loading, in addition to in-flight meal-related operations that were in line with the recovery in passenger demand, as well as an increase in handling of international cargo volume.
- 2. Travel Services
- ・For domestic travel, as demand steadily recovered and backed by the government's travel support program, the volume of dynamic package products increased for all regions, and "ANA Traveler's Hotel" products performed well. For overseas travel, tours to Hawaii resumed in April for the first time in two years, and tour destinations were also expanded sequentially to various countries. As a result, revenue increased from the same period of the previous year.
- ・Working to create a "world where people can live on miles," the ANA Group renewed its "ANA Mileage Club" mobile application in October as a platform where users can access daily life services that are offered by the ANA Group. The ANA Group will further improve convenience by expanding opportunities to "earn and spend miles" both in the daily life scene and online.
- 3. Trade and Retail
- ・As passenger demand recovered, sales increased at ANA FESTA shops in airports and the handling volume of semiconductors for electronics businesses increased. As a result, operating revenue increased from the previous year.
- 4. Others
- ・While there was an increase in contracted lounge operation business, revenue declined year-on-year as there was a large sale of property in the previous year in the real estate sector.
Outlook for FY2022 (April 2022 - March 2023)
- ・ANA HD is revising its consolidated financial forecast for FY2022, presented on October 31, 2022, reflecting the third quarter financial results.
Tags: ANA HOLDINGS INC.
