Greenland is still an attractive destination

Turnover in 2017 only decreased slightly to DKK 1,304.8 million despite the loss of service contracts. It is a result of Air Greenland having been focused on growth over a period of years within the tourism segment, as well as lowering prices as an incentive to attract more travellers. 

 

“Air Greenland delivered a good result in 2017, despite a year with many challenges. It is the result of many employees’ focused work, and it’s good to see that the strategic focus is bearing fruit”, tells  Søren Lennert Mortensen, Chairman of the Board. 

In 2017, Air Greenland had growth of 6% on the competitive routes, which includes all international routes. 73% of the growth was from the flight between Kangerlussuaq and Copenhagen, and 27% of the growth was from routes between Greenland and Iceland. 

“In 2017, we launched year-round flights between Greenland and Iceland, while at the same time increasing the number of flights. It’s gone well, despite the fact that the overall Icelandic market has declined”, continues Søren Lennert Mortensen. 

In 2017, there was continued work on price reductions, despite the loss of the service contracts. CEO Jacob Nitter Sørensen explains: 

“Our turnover and passenger numbers fell slightly in 2017, but not equivalent to our loss of service contracts. At the same time, we see that we have sold more seat-kilometres and that the average travel distance has increased. It shows us that we have managed to attract new customers and that these customers travel further – it has ensured a satisfactory result in 2017”.

 In 2018, production continues to increase to be used to support continued future growth. In 2017, charter areas also experienced a historically good result, and the level of activity is expected to be maintained in 2018.

  

Excerpts from the Group’s key figures

2017

2016

2015

2014

Net profit for the year after tax (DKK million)

 

 

 

 

Air Greenland A/S

28

8.9

51.8

47.4

Hotel Arctic

5.5

4.8

2.3

1.6

Greenland Travel

5.9

6.3

5.3

3.7

 

 

 

 

 

Group turnover

1,304.8

1,307.1

1,225.6

1,171.7

Group profit before tax

71.1

40.8

90.3

80.7

Group profit after tax

44.9

25.6

60.0

52.7

Group equity

700.7

683.6

903.6

784.8

 

 

 

 

 

Group balance sheet total

1,170.2

1,121.7

1,379.3

1,356.9

 

 

 

 

 

Dividends for the financial year

22.5

37

274.0

30.0

Equity ratio

59.9%

60.9%

65.5%

57.8%

 

Turnover in 2017 only decreased slightly to DKK 1,304.8 million despite the loss of service contracts. It is a result of Air Greenland having been focused on growth over a period of years within the tourism segment, as well as lowering prices as an incentive to attract more travellers.

 

“Air Greenland delivered a good result in 2017, despite a year with many challenges. It is the result of many employees’ focused work, and it’s good to see that the strategic focus is bearing fruit”, tells  Søren Lennert Mortensen, Chairman of the Board.

 

In 2017, Air Greenland had growth of 6% on the competitive routes, which includes all international routes. 73% of the growth was from the flight between Kangerlussuaq and Copenhagen, and 27% of the growth was from routes between Greenland and Iceland.

 

“In 2017, we launched year-round flights between Greenland and Iceland, while at the same time increasing the number of flights. It’s gone well, despite the fact that the overall Icelandic market has declined”, continues Søren Lennert Mortensen.

 

In 2017, there was continued work on price reductions, despite the loss of the service contracts. CEO Jacob Nitter Sørensen explains:

 

“Our turnover and passenger numbers fell slightly in 2017, but not equivalent to our loss of service contracts. At the same time, we see that we have sold more seat-kilometres and that the average travel distance has increased. It shows us that we have managed to attract new customers and that these customers travel further – it has ensured a satisfactory result in 2017”.

 

In 2018, production continues to increase to be used to support continued future growth. In 2017, charter areas also experienced a historically good result, and the level of activity is expected to be maintained in 2018.

 

 

Excerpts from the Group’s key figures

2017

2016

2015

2014

Net profit for the year after tax (DKK million)

 

 

 

 

Air Greenland A/S

28

8.9

51.8

47.4

Hotel Arctic

5.5

4.8

2.3

1.6

Greenland Travel

5.9

6.3

5.3

3.7

 

 

 

 

 

Group turnover

1,304.8

1,307.1

1,225.6

1,171.7

Group profit before tax

71.1

40.8

90.3

80.7

Group profit after tax

44.9

25.6

60.0

52.7

Group equity

700.7

683.6

903.6

784.8

 

 

 

 

 

Group balance sheet total

1,170.2

1,121.7

1,379.3

1,356.9

 

 

 

 

 

Dividends for the financial year

22.5

37

274.0

30.0

Equity ratio

59.9%

60.9%

65.5%

57.8%