Company Presentation
| Stock | Alliance Aviation Services Ltd (AQZ.ASX) |
|---|---|
| Release Time | 14 May 2025, 9:38 a.m. |
| Price Sensitive | Yes |
Alliance Aviation Services Provides FY25 Guidance Update
- EBITDA guidance revised to $205.0-$210.0m, Profit Before Tax revised to $80.0-$85.0m
- Net Debt forecast to be $425m-$430m by 30 June 2025, reducing to $315m-$360m by 30 June 2026
- Debt reduction activities to be funded by maximizing operating cash flow, asset monetization, and cost/capex efficiencies
Alliance Aviation Services Limited has provided an investor update, including details on its FY25 financial guidance and debt reduction plans. The company has revised its FY25 EBITDA guidance to $205.0-$210.0 million, down from the previous market guidance of $202.1 million. Profit Before Tax has also been revised to $80.0-$85.0 million, compared to the previous guidance of $92.9 million. The revisions are due to various operational challenges, including aircraft damage, protected industrial action, natural disasters, and airport closures. Looking ahead, Alliance forecasts net debt to be in the range of $425 million to $430 million by 30 June 2025, with a net debt to EBITDA ratio of 2.0-2.1 times. The company aims to further reduce net debt to $315 million to $360 million by 30 June 2026, with a net debt to EBITDA ratio of 1.5-1.7 times. This debt reduction program will be funded through maximizing operating cash flow, continued monetization of engines, aircraft, and parts inventory, consolidation and potential monetization of infrastructure assets, and a focus on cost and capital expenditure efficiencies.The presentation also highlighted Alliance's unique competitive advantages, including its flexible aircraft fleet, long-term customer relationships, technical expertise, and strong pipeline of trading opportunities. The company's growth strategy and key performance indicators, including safety, on-time performance, and financial sustainability, were also discussed.
EBITDA: $205.0 million to $210.0 million (FY25) Profit Before Tax: $80.0 million to $85.0 million (FY25)
Net Debt forecast to be $425 million to $430 million by 30 June 2025, reducing to $315 million to $360 million by 30 June 2026. Debt reduction to be funded by maximizing operating cash flow, asset monetization, and cost/capex efficiencies.