REG - Intl Con Airline Grp - IAG Capital Markets Day 2023

International Consolidated Airlines SAAnnouncement

21/11/2023 07:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20231121:nRSU1227Ua&default-theme=true

RNS Number : 1227U  International Cons Airlines Group  21 November 2023

INTERNATIONAL CONSOLIDATED AIRLINES GROUP, S.A.

IAG Capital Markets Day 2023

IAG will host a Capital Markets event for institutional investors and analysts
today at its head office in London.

The presentations from IAG's management team will outline our strategic
priorities and prospects for the medium term; in addition to how we will
transform the organization to deliver sustainable growth, world-class margins
and maximise long-term shareholder returns.

This includes medium-term targets for:

·    Operating margin of 12% - 15%;

·    Return on Invested Capital of 13% - 16%;

·    Leverage (net debt/EBITDA) of less than 1.8x over the cycle;

·    Commitment to dividends once our balance sheet and investment plans
are secure.

Luis Gallego, Chief Executive Officer and Nicholas Cadbury, Chief Financial
Officer, will be joined by members of the IAG Management Committee, as well as
senior executives in the Group's operating companies.

Speakers will cover:

·    IAG's leading positions in the world's most valuable and growing
aviation markets;

·    Strategy to deliver sustainable growth through our strong brands,
attractive customer base and disciplined approach to capital allocation;

·    Further capital-light growth from partner airlines in high-growth
markets, accelerated by IAG's market-leading Loyalty business, which delivers
sustainable year-round cash flow;

·    How we are transforming our businesses to deliver higher customer
satisfaction, sustainable operating profit, and world-class margins and return
on capital;

·    Our objective to target over €1.5bn in operating profit from our
Spanish businesses;

·    IAG's continued investment in, and leadership of sustainability as a
long-term sector value driver;

·    Our plans to maximise total shareholder returns from earnings growth,
an ordinary dividend and additional shareholder returns, underpinned by a
strong balance sheet

 

IAG's outlook for the full year 2023 remains unchanged. There will be no
discussion of current and future trading.

Luis Gallego, Chief Executive Officer said:

"We are focused on extending our core leadership positions in the North
Atlantic and South Atlantic through developing our hubs, while enabling IAG
Loyalty to reach its full potential within the Group. Our transformation and
investment plans will drive a step change across our businesses, delivering
efficiencies and a market-leading customer experience. Executing our strategy
will enable us to deliver sustainable growth and returns for our
shareholders."

Today's presentations can be found on the IAG website (www.iairgroup.com
(http://www.iairgroup.com) ). A recording of the presentations will be made
available after the event.

Nicholas Cadbury

Chief Financial Officer

 

21 November 2023

 

 

 

 

 

LEI: 959800TZHQRUSH1ESL13

This announcement contains inside information and is disclosed in accordance
with the Company's obligations under the Market Abuse Regulation

 

Alternative Performance Measures:

Operating margin is defined as operating profit margin (and other Income
statement items) before exceptional items.

Return on invested capital (RoIC) is defined as EBITDA before exceptional
items, less fleet depreciation adjusted for inflation, depreciation of other
property, plant and equipment, and amortisation of software intangibles,
divided by average invested capital and is expressed as a percentage.

Net debt is defined as Gross debt less Cash.

EBITDA is defined Earnings before interest, taxes, depreciation and
amortisation, before exceptional items.

 

 

 

Forward-looking statements:

Certain statements included in this announcement are forward-looking. These
statements can be identified by the fact that they do not relate only to
historical or current facts. By their nature, they involve risk and
uncertainties because they relate to events and depend on circumstances that
will occur in the future. Actual results could differ materially from those
expressed or implied by such forward-looking statements.

Forward-looking statements often use words such as "expects", "may", "will",
"could", "should", "intends", "plans", "predicts", "envisages" or
"anticipates" or other words of similar meaning. They include, without
limitation, any and all projections relating to the 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 expenditure, acquisitions and divestments relating to the
Group and discussions of the Group's business plans. All forward-looking
statements in this announcement are based upon information known to the Group
on the date of this announcement and speak as of the date of this
announcement. Other than in accordance with its legal or regulatory
obligations, the Group does not undertake to update or revise any
forward-looking statement to reflect any changes in events, conditions or
circumstances on which any such statement is based.

Actual results may differ from those expressed or implied in the
forward-looking statements in this announcement as a result of any number of
known and unknown risks, uncertainties and other factors, including, but not
limited to, the current economic and geopolitical environment and ongoing
recovery from the COVID-19 pandemic and uncertainties about its future impact
and duration, many of which are difficult to predict and are generally beyond
the control of the Group, and it is not reasonably possible to itemise each
item. Accordingly, readers of this announcement are cautioned against relying
on forward-looking statements. Further information on the primary risks of the
business and the Group's risk management process is set out in the Risk
management and principal risk factors section in the Annual report and
accounts 2022; this document is available on www.iairgroup.com. All
forward-looking statements made on or after the date of this announcement and
attributable to IAG are expressly qualified in their entirety by the primary
risks set out in that section. Many of these risks are, and will be,
exacerbated by the ongoing recovery from the COVID-19 pandemic and
uncertainties about its future impact and duration and any further disruption
to the global airline industry as well as the current economic and
geopolitical environment.

Alternative Performance Measures:

This announcement contains, in addition to the financial information prepared
in accordance with International Financial Reporting Standards ('IFRS') and
derived from the Group's financial statements, alternative performance
measures ('APMs') as defined in the Guidelines on alternative performance
measures issued by the European Securities and Markets Authority (ESMA) on
October 5, 2015. The performance of the Group is assessed using a number of
APMs. These measures are not defined under IFRS, should be considered in
addition to IFRS measurements, may differ to definitions given by regulatory
bodies relevant to the Group and may differ to similarly titled measures
presented by other companies. They are used to measure the outcome of the
Group's strategy based on 'Unrivalled customer proposition', 'Value accretive
and sustainable growth' and 'Efficiency and innovation'. For definitions and
explanations of alternative performance measures, refer to the Alternative
performance measures section in the IAG Annual report and accounts 2022 (IAG
Annual Report and Accounts 2022 (iairgroup.com
(https://www.iairgroup.com/~/media/Files/I/IAG/annual-reports/iag-annual-reports/en/annual-report-and-accounts-2022.pdf)
)
(https://www.iairgroup.com/~/media/Files/I/IAG/annual-reports/iag-annual-reports/en/annual-report-and-accounts-2022.pdf)
) and the Interim Management Report for the nine months to September 30, 2023
(IAG Q3 2023 Results (iairgroup.com)). These documents are available on
www.iairgroup.com (http://www.iairgroup.com/) .

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCPPGAWGUPWUMG