In 2023, TAP recorded its record net income, generating a profit of EUR 177.3 million, an increase of EUR 111.7 million over the previous year, when a result of EUR 65.6 million had been recorded. Operating Revenues in 2023 reached the highest value ever in the Group’s history, surpassing the EUR four billion mark, reaching a value of EUR 4.2 billion, increasing by EUR 730 million (+20.9% ) compared to 2022.
This record figure and consistent growth reflect and confirm TAP’s strategic approach to market opportunities. In 2023, TAP recorded a solid performance in financial and commercial metrics, with a Recurring EBITDA of EUR 871.6 million, with a margin of 21%, as well as a solid Recurring EBIT of EUR 385.8 million, with a margin of 9%.
TAP ended 2023 with a robust liquidity position of EUR 789.4 million, reinforcing the deleveraging path with an improved Net Financial Debt / EBITDA ratio as of 31 December 2023. In 2024, TAP will continue to implement its strategy to transform into a structurally sustainable airline, continuously improving operations. TAP is investing in employees and customers, strengthening the focus on key markets and the strategy for them, capitalizing on good financial results, managing cost pressures, improving cash flow generation and continuing the deleveraging path.
Luís Rodrigues, TAP’s Chief Executive Officer, considers: “Strong 2023 results confirm TAP’s recovery path in recent years. Record revenues, surpassing the four billion Euro mark, robust and resilient operating margins and a clear deleveraging trend, confirming the financial strength of the Group.
“An increase in punctuality and regularity in the second half of the year, as well as in the NPS, underscores the organisational focus on delivering a better service to our passengers. Signing the new collective labour agreements confirms the recognition and commitment towards our people.”
REVIEW OF THE FULL YEAR 2023
In 2023, TAP carried 15.9 million passengers, representing an increase of 15.2% compared to 2022, reaching 93% of the figures achieved in 2019. The total number of flights operated increased by 11.0%, reaching 88% of pre-crisis levels.
Capacity surpassed 2019’s pre-pandemic levels, reaching 101%, representing an increase of 14.9% compared to 2022. The Load Factor increased by 0.8 p.p. year-on-year, reaching 80.8% in 2023, also improving by 0.7 p.p. compared to 2019.
Operating revenues in 2023 totalled EUR 4,214.8 million, which represented an increase of 20.9% compared to 2022 and an increase of 27.8% compared to 2019. The 2023 PRASK was EUR 7.30 cents, having increased by 9.1% (+EUR 0.61 cents) compared to 2022 and 31.5% (+EUR 1.75 cents) compared to 2019.
Recurring operating costs amounted to EUR 3,829.0 million, increasing by 18.3% compared to 2022. The CASK of recurring operating costs increased by 3% to EUR 7.25 cents compared to 2022. Excluding fuel, the increase was 10.4% compared to 2022, reaching a unit value of EUR 5.14 cents, 9.9% higher than in 2019.
In 2023, Recurring EBITDA reached EUR 871.6 million, with a margin of 20.7%, increasing by EUR 113.4 million or 15.0% compared to 2022. Recurring EBIT amounted EUR 385.8 million in 2023, with a margin of 9.2%, which is EUR 137.1m higher than in 2022.
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