Amadeus reports strong third quarter results
Group Revenue increased by 12.6%, EBITDA grew 13.3%
In the first nine months of 2024, Amadeus delivered double-digit growth with enhanced profitability, delivering expanding EBITDA and Operating Income margins. The Group Revenue increased by 12.6%, EBITDA grew 13.3%, Operating Income increased by 16.9%1, and Adjusted Profit expanded by 17.4%1, relative to prior year. This solid financial performance over the first nine months of 2024 supported Free Cash Flow generation of €975.2 million, resulting in Net Financial Debt5 of €2,511.0 million at September 30, 2024, representing 1.09 times the last-twelve-month EBITDA.
Luis Maroto, President & CEO of Amadeus, commented: “We have delivered a high-growth, profitable and cash-generative evolution in the first nine months of 2024, supported by strong performances across their businesses. Based on their solid financial situation to date and their prospects for the fourth quarter, we reiterate their confidence on the outlook we issued at the beginning of the year.
We are confident about the growth opportunities ahead for Amadeus and we are committed to achieving them. Amadeus is accelerating investment and aims to become the undisputed aggregator of NDC volumes for airlines and travel agencies, to lead the airline IT retailing transformation, and to be the IT provider of reference to the hospitality industry.”
Business evolution
Over the first nine months of 2024, Air Distribution revenue increased by 10.0% relative to the previous year, supported by steady booking growth of 3.4% and unitary booking revenue expansion of 6.4%.
They continued to progress well on their NDC strategy. Delta Air Lines and Virgin Australia signed NDC distribution agreements with Amadeus to distribute their NDC content through the Amadeus Travel Platform. Notably, India’s leading airline, IndiGo, entered into a strategic NDC partnership with Amadeus to provide travel sellers in India and around the world with access to IndiGo’s NDC content via the Amadeus Travel Platform.
In Air IT Solutions, revenue grew by 16.2%, supported by their passengers boarded evolution, which increased by 12.0% in the nine-month period. This increase was driven by global air traffic growth and the positive impact from Amadeus’ 2023 – 2024 customer implementations.
During the third quarter, we officially introduced Navitaire Stratos, a modern retailing portfolio for low-cost and hybrid carriers. This portfolio enhances traveler-focused services, reduces costs, and supports flexible partnership integrations, while meeting industry Offer and Order standards.
Also in this quarter, Qatar Airways expanded its partnership with Amadeus by signing for Amadeus Ancillary Dynamic Pricing, part of their Offer Management portfolio.
Regarding Airport IT, we continued to expand their customer base and sold solutions from their Airport IT portfolio to several airport customers such as Groupe ADP.
Over the first nine months of 2024, Hospitality & Other Solutions revenue increased by 12.9%. Both Hospitality and Payments delivered double-digit growth rates over the period, supported by new customer implementations and volume expansion. In Hospitality IT, CDS Groupe has renewed and expanded its agreement with Amadeus Hospitality Media and Distribution. In Payments, Outpayce will tokenize customer card details for a leading European low-cost airline.
For more information about their operating and financial performance during the first nine months of 2024, please visit their Investor Relations website.
Corporate news
Amadeus recently received the validation of its targets to decrease GHG emissions by Science Based Targets initiative (SBTi). SBTi validation provides external assurance, from a trusted organization, on their targets’ alignment with the ambition to build a “net-zero” travel industry by 2050.
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