IAG Capital Markets Day 2015

RNS Number : 8136E

International Cons Airlines Group

06 November 2015

 



IAG CAPITAL MARKETS DAY 2015

International Consolidated Airlines Group (IAG) will update the market today (November 6, 2015) at its Capital Markets Day with the following information:

IAG is today announcing a considerable upgrade to our long term return and equity cash flow objectives. Long-term planning goals for 2016-2020 include:

o  Return on Invested Capital (real terms) targeting sustainable 15% (compared to 12%+ previously)

o  An operating profit margin of 12% to 15% (compared to 10% to 14% previously)

o  Average EPS growth of 12%+ per annum (compared to 10%+ per annum previously)

o  EBITDAR of approximately €5.6bn average per annum (compared to €5bn average per annum previously)

o  Capex: targeting less than €2.5bn per annum (compared to €2bn to €3bn per annum previously)

o  Equity free-cash flow of €1.5bn to €2.5bn per annum (compared to €1bn to €1.5bn per annum previously)

o  ASK growth of approximately 3% to 4% per annum (no change)

o  Gearing to be in the investment grade zone (no change)

In addition, IAG today announces the following changes in the executive management teams within our operating companies. Keith Williams will be retiring as Executive Chairman of British Airways in April next year and Alex Cruz, currently Chairman and Chief Executive Officer of Vueling, will be replacing him. Also, Nick Swift will be stepping down as Chief Financial Officer of British Airways in April next year and Steve Gunning, current Chief Executive Officer of IAG Cargo, will be replacing him. Further appointments will be announced in due course.

The presentations from the Capital Markets Day can be accessed via www.iairgroup.com and a webcast of the event will be available today from 0830 GMT/0930 CET.

Ends

November 6, 2015

Forward-looking statements:

Certain statements included in this report are forward-looking and involve risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such forward-looking statements.

Forward-looking statements can typically be identified by the use of forward-looking terminology, such as "expects", "may", "will", "could", "should", "intends", "plans", "predicts", "envisages" or "anticipates" and include, without limitation, any projections relating to results of operations and financial conditions of International Consolidated Airlines Group S.A. and its subsidiary undertakings from time to time (the 'Group'), as well as plans and objectives for future operations, expected future revenues, financing plans, expected expenditures and divestments relating to the Group and discussions of the Group's Business plan. All forward-looking statements in this report are based upon information known to the Group on the date of this report. The Group undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.

It is not reasonably possible to itemise all of the many factors and specific events that could cause the forward-looking statements in this report to be incorrect or that could otherwise have a material adverse effect on the future operations or results of an airline operating in the global economy. Further information on the primary risks of the business and the risk management process of the Group is given in the Annual Report and Accounts 2014; these documents are available on www.iagshares.com.

 

END

 

 

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