This appears in the company’s earnings report for the fourth quarter, which was published on Friday. – I am happy to be able to say that in 2023 Norwegian achieved the company’s highest ever operating profit, says CEO Geir Karlsen in a press release. As recently as 2020, the company was threatened with bankruptcy. The share price is going up – so are the prices The Norwegian share is up 9 per cent after the start of the stock exchange. At Norwegian’s press conference, with shareholders in the room, there was applause after the presentation. – We now have a market where many people want to travel. At the same time, we have had a good operation in Norwegian, which has meant that we are now among the 3-4 companies in Europe with the best punctuality, says Geir Karlsen to news. Managing Director of Norwegian Air Shuttle Geir Karlsen before Norwegian Air Shuttle ASA presents the results for the fourth quarter of 2023. Photo: Ole Berg-Rusten / NTB – How much did their ticket prices increase in 2023? – It probably increased somewhere between 15-20, occasionally 25 per cent. And then we see that the desire to travel has not decreased in 2024. Therefore, 2024 may be even better for Norwegian, replies Karlsen. Unusually good at the end of the year Norwegian did abnormally well in the fourth quarter of 2023 with a profit before tax of NOK 208 million, compared to minus NOK 80 million in the same period last year. This despite the fact that the airline usually loses money during the winter season. Through October, November and December last year, Norwegian had 4.7 million passengers, up from 4.6 million passengers in the same period in 2022. Norwegian has managed to fill up its planes better, from 81.4 to 84.4 percent. – It is approaching the maximum with the current route structure, says flight analyst Espen Andersen to news. Lower fuel prices The positive result is due, among other things, to stronger demand in November and December than expected, a settlement in a patent dispute with Bank Norwegian and compensation related to delays in aircraft deliveries. Lower fuel prices and exchange rates also had a positive effect on Norwegian’s result. The company believes earnings will continue to increase into 2024 and envisages an operating profit of between NOK 2.5 and 3.2 billion this year, an increase of between 12 and 44 percent from last year, according to E24. Million dividend can be stopped by the state Norwegian plans a dividend to shareholders of NOK 0.60 per share for 2023. This corresponds to a total of NOK 820 million. Payment of dividends requires approval from the company’s lenders. If it is not approved, the board proposes to set aside the dividend amount in a fund for later payment. The Norwegian state gave Norwegian a loan that allows them to prevent the payment of dividends. – If we cannot pay this now, we will wait until we can do so. And it is in 2026 when the loan is repaid, says Geir Karlsen to news. In January, Norwegian completed the billion acquisition of the airline Widerøe, and they are now in the process of including Widerøe in the Norwegian group. The company tells news that they are now running the routes together, so that they will not fly the same routes, but share them between them.
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Record result sends Norwegian up on the stock exchange – news Norge – Overview of news from different parts of the country
