- Positive net income for the third consecutive year.
- Result impacted by extraordinary labor provisions and foreign exchange losses.
- Operating revenues exceed €4.2 billion, a new all-time high.
- Stable operating results, EBITDA margin of 21% and EBIT margin of 9%.
- The airline carried 16.1 million passenge.
TAP Air Portugal achieved a net income of EUR 53.7 million in 2024, having been positive for the third consecutive year. This result was mainly impacted by extraordinary labor provisions and exchange rate losses. Compared to 2019, the last year before the pandemic, the results register an increase of EUR 149.4 million.
In 2024, operating revenues totaled a new all-time high of EUR 4,242.4 million, an increase of 0.7% compared to 2023 and 28.6% above 2019 levels. Flown passengers’ revenue remained positive, driven by the increase in capacity (+1.6%) and the improvement in the Load Factor (+1.5 p.p.).
Last year, TAP carried a total of 16.1 million passengers, an increase of 1.6% compared to the previous year, reaching 94% of the values achieved in 2019. The total number of flights operated decreased by 1.5% compared to 2023, reaching 86% of pre-crisis levels.
The strong performance of the Maintenance segment (+44.6%), particularly in the engine shop activity, also contributed to revenue growth.
PRASK reached EUR 7.13 cents, down 2.3% (-EUR 0.17 cents) year-on-year, but remaining 28.4% (+EUR 1.58 cents) above 2019 levels.
Recurring operating costs increased by 0.8% year-on-year, reaching EUR 3,859.8 million in 2024. CASK recurring operating costs decreased by 0.7% to EUR 7.20 cents, while CASK recurring operating costs excluding fuel costs increased by 2.1% compared to 2023, reaching EUR 5.25 cents.
Recurring EBITDA reached EUR 875.3 million in 2024, with a margin of 20.6%, increasing EUR 3.7 million or 0.4% compared to 2023. Recurring EBIT amounted to EUR 382.7 million in 2024, with a margin of 9.0%, representing a decrease of EUR 3.2 million or 0.8%, reflecting a consolidated profitability level, in line with 2023, successfully accommodating the new Company Labor Agreements and the increase in personnel costs.
As of 31 December 2024, TAP had a solid liquidity position of EUR 651.6 million, excluding the third tranche of capital of EUR 343 million, executed by the shareholder on 17 January 2025. Considering this capital injection, the net financial debt/EBITDA ratio reached the level of 2.2x. In addition, the successful debt refinancing operation in November increased TAP's debt maturity. These factors reinforce the stabilization of TAP's financial deleveraging metrics and disciplined financial management.
Luís Rodrigues, TAP's Executive Chairman, points out that "the 2024 results confirm TAP's recovery trajectory started in recent years. For the third consecutive year, TAP posted a positive net result, supported by the increase in revenues and the stabilization of operating results. In addition, the continuous increase in punctuality and regularity confirms a more robust and resilient operation, recognized by our customers through the significant increase in NPS (Customer Satisfaction Index) compared to 2023."
"These results" – continues the official – "were achieved in a very challenging year, marked by a relevant increase in competition in our main markets, strong currency devaluations, operational challenges, namely in air traffic control and adverse weather events, and structural constraints, such as the aircraft limit".
"2025 will also be a challenging year, but also the last year of the restructuring plan, in which we will continue to focus on transforming TAP into a sustainably profitable company and one of the most attractive in the industry, with the support and commitment of our people and our stakeholders", concluded Luís Rodrigues.
You can read the full content of the 4th quarter and full year 2024 earnings release here.