China Airlines Ltd. · TWSE:2610
China Airlines — FY2024 Earnings Presentation
32 slides from China Airlines's earnings presentation, Mar 12, 2025
Slide 1: China Airlines 2025 1st Investor Conference
China Airlines 2025 1st Investor Conference Mar. 12 ’25
Slide 2: Safe Harbor Notice
Safe Harbor Notice • The information disclosed in this presentation and its accompanying announcements, including content relating to business outlooks, financial operations, and business forecasts, is based on information derived from internal corporate data and external economic developments as a
Slide 3: Agenda
Agenda • 2024 Operating Outcomes • Market Outlook • Fleet Development • Passenger and Cargo Market, Performance & Strategies • Sustainability Actions and Achievements 3
Slide 4: 2024 Operating Outcomes
& CHINA AIRLINES :¥) 2024 Operating Outcomes
Slide 5: 2024 Financial Performance
2024 Financial Performance (TWD 100 Million) 2024 2023 Diff. YoY Operating revenue 2,038.8 1,848.2 190.6 10.3% Passenger revenue 1,279.2 1,157.2 122.0 10.5% Cargo revenue 607.1 571.5 35.6 6.2% Other operating revenue 152.5 119.5 33.0 27.6% Net Operating Income 182.0 101.6 80.4 79.2% Net Income After
Slide 6: Group Financial Ratio
Group Financial Ratio CAL Financial Ratios trend 109% Under continuously profit 100% Current ratio +41ppt v.s 19Q4 88% Debt ratio -7ppt v.s 19Q4 79% 77% 75% 68% CAL’s financial condition 73% 74% 72% and ratios are gradually Current Ratio Debt Ratio optimized. 50% 2019/12 2023/12 2024/06 2024/12 Base
Slide 7: The Growth Operating Revenue
The Growth Operating Revenue The 2024 operating revenue increased by 8% compared with last year. Both passenger and cargo revenue remained growth, especially in North East Asia, South East Asia and Long-Haul flight. Quarterly revenue 460 +8% TWD100 million Long -Haul 420 +5% Q4 China +20% 380 Q3 460
Slide 8: Operating Cost Breakdown and Comparison
Operating Cost Breakdown and Comparison Fuel (Percentage decreasing due cost remain approx. the same) 35% 32% Labor (Percentage increasing due employee increased and wage growth) Rental & Depr. (Pct. decreasing due fleet phased out and lease termination) 15% 18% Maint. 16% 14% Airport (Percentage in
Slide 9: Fuel Cost Analysis
Fuel Cost Analysis 2024 2023 YoY Jet fuel (MOPS) The volume of fuel barrels in USD/BBL 96.25 105.31 -9% 2024 was increase by 3% Fuel compared with 2023. However, Consumption 1,552 1,506 3% 10K/BBL the average fuel price for 2024 Fuel Cost was fall by 9% compared with (TWD 100 million) 516.14 538.39
Slide 10: Crude Oil and Jet Fuel Price Trends
Crude Oil and Jet Fuel Price Trends SinJet and Brent Price USD/BBL 180 Crack 173.7 Oil prices rose in early 2025, Brent 150 and fell back as U.S. Jet Fuel 120 production increases and 82.9 88.3 tariff disputes weakened the 90 119.8 outlook for crude oil demand. 60 72.8 Jet fuel crack prices currentl
Slide 11: Stable Development of Company Operations and Financial Status
Stable Development of Company Operations and Financial Status Operating Revenue(individual) Operating Revenue(consolidated) 2,039 7 2,000 (TWD 100 Million) EPS 1,848 6 1,752 1,684 1,617 5 1,600 1,507 1,464 1,388 1,411 4 1,321 1,153 3 1,200 2.38 1,063 2 1.13 800 1.67 0.48 1 0 -0.22 0.03 400 -1 2019 2
Slide 12: Market Outlook
& CHINA AIRLINES :¥) Market Outlook
Slide 13: 2025-2026 Global Economic Outlook
2025-2026 Global Economic Outlook • In January 2025, the IMF raised its forecast for U.S. economic growth this year to 2.7% (previously 2.2). • After the adjustment, the IMF raised its global economic growth forecast by 0.1% to 3.3% in 2025 as well as in 2026. GDP（%）Forecast Europe China Japan 4.8 4
Slide 14: Stable Industry Earnings Expected in 2025 Amid Lower Fuel Prices
Stable Industry Earnings Expected in 2025 Amid Lower Fuel Prices • Revenue： Passenger fares and cargo rates may decline slightly in 2025 but remain above pre-pandemic levels. • Cost： Global airline industry costs are expected to rise 4% to $940 billion in 2025. • Profit： In 2025, the global airline
Slide 15: Global Passenger Market Outlook
Global Passenger Market Outlook • The passenger load factor reached a record high in 2024, reflecting the increasing impact of supply chain constraints on capacity expansion. In 2025, International passenger traffic is expected to grow by 5.8% YoY. • Asia and Oceania are projected to grow at 11.5% a
Slide 16: Taoyuan Airport (TPE) Passenger Market
Taoyuan Airport ( TPE ) Passenger Market • TPE's passenger volume is expected to reach the pre-pandemic level in 2025(94% in 2024). • Taiwanese carriers are actively enhancing sixth freedom traffic products, leading to a significant increase in transfer passengers at TPE. • In 2024, the number of tr
Slide 17: Global／Taoyuan Airport (TPE) Cargo Market Outlook
Global／Taoyuan Airport ( TPE ) Cargo Market Outlook • International Cargo Tonne Kilometer (CTK) reached a new high in 2024, growing by 11.3% YoY. In 2025, air cargo demand is expected to grow steadily, with a projected growth rate of 6.0%. • In 2024, TPE's total cargo volume increased by 7.5% YoY, s
Slide 18: Fleet Development
& CHINA AIRLINES :¥) Fleet Development
Slide 19: Operating Fleet Plan
Operating Fleet Plan Aircraft type 2025.Q1 End of 2025 Remark 777-300ER 10 10 2025 Commencing 787-9 0 2 Introduction A350-900 15 15 Planning Cabin Retrofit A330-300 16 12 Gradual Return Leased Flight 737-800 10 10 A321neo 16 19 Continue to Introduce Passenger Fleets 67 68 744F 8 8 777F 9 10 Continue
Slide 20: Passenger & Cargo Market, Performance & Strategies
Passenger & Cargo Market, Performance & Strategies
Slide 21: 2024 Passenger Operational Results
2024 Passenger Operational Results 2024 24’ vs 23’ 24’ vs 19’ Hong Kong , 3% Oceania, 7% Passenger North revenue 1,074 8.4% 11.7% America, (TWD 100 million) 23% Revenue North East passenger 1,146 19.5% -26.6% Asia, 29% 2024 Passenger (‘000) Revenue Available Seat Kilometer 474 9.6% -10.1% Sources Eu
Slide 22: 2024 Passenger Revenue & Yield
2024 Passenger Revenue & Yield 2023 Pax Rev 2024 Pax Rev 2023 Yield 2024 Yield 4.0 140 Yield TWD 100 Million 3.54 3.37 3.5 130 3.19 3.00 3.02 2.92 2.89 2.87 3.0 2.79 2.80 2.78 2.82 2.82 120 2.98 3.01 2.86 2.84 2.84 2.5 2.73 2.72 107 2.72 2.81 2.79 110 2.67 98 2.0 96 95 96 100 92 92 93 91 90 89 1.5 8
Slide 23: Continuously Growing Online Sales
Continuously Growing Online Sales Major & robust sales channeling: CI website(OLS). Over 1/3 of FIT sales are from CI website in 2024. Align with trendy topics, to stimulate more revenues. OLS % Tkt Vol. OLS TKT Vol. OLS % 35% % 33% 3,500,000 29% 3,000,000 26% 30% 2,500,000 20% 20% 1,995,834 2
Slide 24: Deploy Network with Market Demand
Deploy Network with Market Demand • Year 2024 • 2024.04 Adding KHH-NRT flights • 2024.05 TPE-KOJ. Market leader in Kyushu/ Japan • 2024.07 TPE-SEA. Expanding N. America network • Year 2025 • 2025.02 Resuming KHH-KMJ. Meet leisure & business travel demand • 2025.03 Adding TPE-TAK flights. Daily fligh
Slide 25: Passenger Operation Strategy
Passenger Operation Strategy Steady Development Continuous Innovation • Build-up hub & spoke network: the • CRM: Digital technology to connect advantage of geographic location. customer with care. • Expanding Network: Partner with • Upgrade DFP program to enhance the Alliance and codeshare airlines.
Slide 26: 2024 Cargo Operational Results
2024 Cargo Operational Results 2024 24’ vs 23’ 24’ vs 19’ Europe, Cargo revenue 604.4 6.3% 39.3% 11% (TWD 100 million) South East Revenue Freight Asia, 10% Ton Kilometer 52.9 -1.0% -1.5% 2024 CGO (100 million) North Americ Revenue China,5% Available Freight a, 65% Sources 77.4 -2.3% -3.4% North East
Slide 27: 2024 Cargo Revenue & Yield
2024 Cargo Revenue & Yield 2023 Cgo Rev 2024 Cgo Rev 2023 Yield 2024 Yield TWD 100 Million Yield 14 80 13.12 12.41 12.19 12.35 11.91 11.85 11.51 11.40 11.28 11.58 11.40 12 11.06 10.58 11.98 12.01 70 10.24 9.75 9.61 10 10.56 9.22 8.96 10.42 62 10.03 9.42 58 60 8 57 56 52 52 53 52 52 6 50 50 48 49 48
Slide 28: Cargo Operation Strategy
Cargo Operation Strategy Enhance aircraft and network advantages, and maintain operational flexibility in response to market trends. After the last 777F is delivered, flexibly deploy 10 777Fs and 8 744Fs, leveraging high cargo capacity and fuel efficiency to enhance operational performance. Moni
Slide 29: Sustainability Actions and Achievements
Sustainability Actions and Achievements
Slide 30: Comprehensive Sustainable Actions
Comprehensive Sustainable Actions Taiwan’s First Transportation Service Participating T.A.C. for 3 Supporting Ecological Conservation Provider Certified by SBTi Consecutive Years by Adopting a Pangolin at Taipei Zoo Collaborating with Corporate Expanding Forest Adoption Efforts Continuously Conducti
Slide 31: Continuously Achieving Excellence
Continuously Achieving Excellence Global Airline Industry Top 5% 3rd time Best Sustainability Report 8 selected for t h S&P Sustainability YearBook 11 consecutive years selected for t h Taiwan Corporate 2014-2024 Sustainability Award 2016-2025 9 Sustainability Report : Gold Class consecutive years s
Slide 32: Thank you
& CHINA AIRLINES :¥) Thank you