Annual Report 2015

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Operating Results

Aeroflot Group operating highlights
Item 2011 Data for 2011 include the results for Aeroflot, Donavia, and Nordavia (before its divestment from the Group on 8 June 2011), as well as the results for Rossiya, Vladavia, SAT Airlines and Orenair starting from 15 November 2011. 2012 2013 2014 2015
Passenger traffic, million PAX 16.4 27.5 31.4 34.7 39.4
change, % 16.5 67.6 14.3 10.7 13.4
Passenger turnover, billion RPK 46.1 74.6 85.3 90.1 97.6
change, % 17.6 61.9 14.3 5.6 8.4
Available seat-kilometres, billion ASK 60.0 95.6 109.1 115.8 124.7
change, % 17.9 59.3 14.1 6.2 7.7
Passenger load factor, % 76.8 78.1 78.2 77.8 78.3
change, p.p. –0.3 1.3 0.1 –0.4 0.5
Cargo and mail carried, thousand tonnes 168.5 223.8 204.6 166.3 156.3
change, % –1.3 32.8 –8.6 –18.7 –6.0
Revenue tonne-kilometres, billion TKM 5.1 7.9 8.7 8.8 9.5
change, % 13.0 56.3 9.3 1.9 7.0
Available tonne-kilometres, billion TKM 8.1 12.2 13.4 13.9 15.1
change, % 14.8 49.3 10.2 3.4 8.8
Revenue load factor, % 62.3 65.2 64.7 63.8 62.7
change, p.p. –1.0 2.9 –0.5 –0.9 –1.1
Aeroflot Group operating highlights: domestic routes
Item 2011 Data for 2011 include the results for Aeroflot, Donavia, and Nordavia (before its divestment from the Group on 8 June 2011), as well as the results for Rossiya, Vladavia, SAT Airlines and Orenair starting from 15 November 2011. 2012 2013 2014 2015
Passenger traffic, million PAX 7.0 11.5 14.0 17.6 23.4
change, % 12.4 65.3 21.6 26.0 32.5
Passenger turnover, billion RPK 15.5 24.3 29.2 35.0 44.7
change, % 11.0 57.0 19.8 19.9 27.8
Available seat-kilometres, billion ASK 19.9 31.7 37.6 43.6 56.3
change, % 11.4 59.2 18.2 16.2 29.0
Passenger load factor, % 77.7 76.7 77.7 80.2 79.4
change, p.p. –0.4 –1.0 1.0 2.5 –0.8
Cargo and mail carried, thousand tonnes 47.0 70.7 82.8 82.0 79.1
change, % –4.4 50.4 17.1 –0.9 –3.4
Revenue tonne-kilometres, billion TKM 1.6 2.5 3.0 3.5 4.3
change, % 8.1 55.0 19.2 17.4 24.5
Available tonne-kilometres, billion TKM 2.5 3.8 4.5 5.2 6.6
change, % 9.0 53.6 18.8 14.9 27.6
Revenue load factor, % 64.7 65.2 65.4 66.8 65.2
change, p.p. –0.5 0.5 0.2 1.4 –1.6
Aeroflot Group operating highlights: international routes
Item 2011 Data for 2011 include the results for Aeroflot, Donavia, and Nordavia (before its divestment from the Group on 8 June 2011), as well as the results for Rossiya, Vladavia, SAT Airlines and Orenair starting from 15 November 2011. 2012 2013 2014 2015
Passenger traffic, million PAX 9.4 16.0 17.4 17.1 16.0
change, % 19.7 69.3 8.9 –1.7 –6.2
Passenger turnover, billion RPK 30.6 50.3 56.1 55.1 52.9
change, % 21.3 64.4 11.6 –1.8 –3.9
Available seat-kilometres, billion ASK 40.1 63.9 71.5 72.2 68.5
change, % 21.4 59.4 12.0 1.0 –5.2
Passenger load factor, % 76.3 78.7 78.4 76.3 77.3
change, p.p. –0.3 2.4 –0.3 –2.1 1.0
Cargo and mail carried, thousand tonnes 121.5 153.1 121.8 84.3 77.2
change, % 0.0 26.1 –20.5 –30.8 –8.5
Revenue tonne-kilometres, billion TKM 3.5 5.4 5.7 5.3 5.2
change, % 15.5 56.9 4.9 –6.1 –4.3
Available tonne-kilometres, billion TKM 5.7 8.4 8.9 8.7 8.5
change, % 17.6 47.4 6.2 –2.4 –2.4
Revenue load factor, % 61.3 65.2 64.4 61.9 60.7
change, p.p. –1.1 3.9 –0.8 –2.5 –1.2
Note: In the charts and tables featured in this Annual Report, immaterial deviations in the calculation of percentage changes, subtotals and totals are explained by rounding.

Aeroflot Group

In 2015, Aeroflot Group improved its key operating results despite a decline in Russian market passenger traffic.

39.4 million passengers
carried by Aeroflot Group
13.4 %
growth in Aeroflot Group's passenger traffic

The Group carried a total of 39.4 million passengers, posting a 13.4% growth y-o-y. The Group's RPK grew 8.4% to 97.6 billion, with available seat-kilometres (ASK) growing by 7.7% to 124.7 billion. The passenger load factor across Aeroflot Group increased by 0.5 percentage points (p.p.) to 78.3%.

Aeroflot Group passenger traffic, million PAX

Aeroflot Group passenger turnover, billion RPK,  and passenger load factor, %
	Aeroflot Group passenger turnover and passenger load factor»
Aeroflot Group operating performance by region (scheduled and charter flights)
Region Passenger traffic,
million PAX
Passenger turnover, billion RPK Available seat-kilometres, billion ASK Passenger load factor, %
2014 2015 change, % 2014 2015 change, % 2014 2015 change, % 2014 2015 change, %
Russia 17.6 23.3 32.7 34.9 44.6 28.0 43.4 56.1 29.4 80.4 79.5 –0.9
Europe 7.6 7.9 3.5 17.2 17.5 1.8 23.3 23.6 1.4 73.7 74.0 0.3
Asia 2.3 2.7 14.4 15.1 17.5 15.9 20.2 22.3 10.5 75.0 78.7 3.7
CIS 2.6 2.5 –2.6 4.9 4.7 –2.6 6.3 6.1 –3.4 77.0 77.7 0.7
Middle East 1.7 1.6 –3.5 4.7 4.7 1.4 6.1 6.2 2.7 77.0 76.0 –1.0
Americas 0.8 0.8 –1.7 6.9 6.8 –1.0 8.7 8.2 –4.8 79.3 82.5 3.2
Total scheduled flights 32.7 38.9 19.0 83.5 95.9 14.8 107.9 122.6 13.6 77.4 78.2 0.8
Charter flights 2.1 0.5 –75.0 6.5 1.7 –73.3 8.0 2.2 –72.8 82.2 80.8 –1.4
Total passenger flights 34.7 39.4 13.4 90.1 97.6 8.4 115.8 124.7 7.7 77.8 78.3 0.5
32.5 %
growth in Aeroflot Group's domestic passenger traffic

Domestic routes

In 2015, the total number of passengers carried by Aeroflot Group on domestic routes increased by 32.5% y-o-y to 23.4 million. Passenger turnover grew by 27.8% reaching 44.7 billion RPK while the available seat-kilometres increased by 29.0% to 56.3 billion ASK, leading to a slight decrease in the passenger load factor by 0.8 p.p. to 79.4%. In 2015, the share of domestic passengers increased from 50.8% to 59.3% of the total number of passengers carried by the Group.

Aeroflot Group 2015 passenger traffic breakdown by airline
Aeroflot Group 2015 passenger traffic breakdown by destination

The growth is mainly driven by an increase in demand for domestic flights, a surge in domestic tourism, and relevant capacity increase, including through boosting the frequency of flights to most popular destinations. Pobeda airline, Aeroflot Group's low-cost carrier, made a significant contribution to the Group's success, having carried 3.1 million passengers in 2015.

International routes

40.7 %
Aeroflot Group's international passenger traffic
77.3 %
Aeroflot Group's international passenger load factor

In 2015, Aeroflot Group's international passenger traffic decreased by 6.2% y-o-y to 16.0 million passengers. Passenger turnover fell by 3.9% to 52.9 billion RPK, with the available seat-kilometres decreasing by 5.2% to 68.5 billion ASK, driving an increase in the passenger load factor by 1.0 p.p. to 77.3%. These trends were driven by macroeconomic changes along with the national currency devaluation and their impact on the consumer behaviour and passengers' preferences, primarily in the leasure segment.

The greatest decline was seen on international charter flights while the overall operating results for scheduled flights remained more stable.

Scheduled passenger traffic in Europe, the Group's second largest market, grew by 3.5% to 7.9 million passengers against a backdrop of less intense competition from international air carriers due to their streamlined operations and reduced frequency of flights to Russian destinations.

In 2015, international traffic was also influenced by a number of flight restrictions, such as a reduced number of destinations followed by the ban on-flights to Ukraine, suspension of flights to Egypt and reduced frequency of flights to Turkey (due to restrictions on charter flights). As a result, the scheduled passenger traffic within the CIS declined by 2.6% while in the Middle East the reduction reached 3.5%.

In 2015, flights to Egypt, Turkey, and Ukraine accounted for 0.6%, 2.0% and 1.1% of the Group's total passenger traffic, respectively. While the bulk of passengers flying to Egypt was carried on charter flights operated by Orenair, most of those travelling to Turkey take scheduled flights, which have not been affected by restrictions (1.6% out of 2.0% of passengers flying between Russia and Turkey). Unlike the overall Russian market share, the Group's exposure to these Middle East countries was limited.

Aeroflot Group continued to focus on Asian destinations, where the number of passengers carried on scheduled flights grew by 14.4% to 2.7 million, driving the passenger load factor up by 3.7 p.p. to 78.7%.

The number of passengers on scheduled flights to North and Central America reduced due to the Group's streamlined operations in the region and cancellation of a number of commercially inefficient flights, including flights to Toronto, Cancun, and Punta Cana.

Reduction of flight frequency to Russian destinations by a number of foreign carriers, the growth of Aeroflot's transit passenger traffic via Sheremetyevo airport, and cessation of operations by Transaero had a positive effect on the operating results in the international segment.

26.1 million passengers
carried by Aeroflot airline
10.6 %
growth in Aeroflot airline's passenger traffic

Aeroflot Airline

In 2015, Aeroflot airline carried a total of 26.1 million passengers, up 10.6% y-o-y. The airline's passenger turnover grew by 10.4% to 74.1 billion RPK while the available seat-kilometres increased by 8.9% to 93.5 billion ASK, leading to an increase in the passenger load factor by 1.1 p.p. to 79.3%.


Aeroflot airline passenger traffic, million PAX
Aeroflot airline passenger turnover, billion RPK, and passenger load factor, % 
Aeroflot airline passenger turnover and passenger load factor
Aeroflot airline 2015 passenger traffic breakdown by destination
Aeroflot airline operating performance by region (scheduled and charter flights)
Region Passenger traffic,
million PAX
Passenger turnover, billion RPK Available seat-kilometres, billion ASK Passenger load factor, %
2014 2015 change, % 2014 2015 change, % 2014 2015 change, % 2014 2015 change, %
Russia 11.1 12.7 13.7 24.4 27.3 11.8 29.6 33.3 12.3 82.6 82.2 –0.4
Europe 6.5 7.0 7.4 14.5 15.5 6.6 19.5 20.9 6.9 74.2 74.0 –0.2
Asia 2.1 2.5 14.8 14.8 17.2 16.0 19.7 21.6 9.9 75.1 79.3 4.2
CIS 1.7 1.9 6.6 2.9 3.3 15.1 3.7 4.2 14.3 78.5 79.0 0.5
Middle East 1.3 1.4 6.0 3.6 4.0 11.2 4.6 5.2 13.4 78.6 77.1 –1.5
Americas 0.8 0.8 –1.7 6.9 6.8 –1.0 8.7 8.2 –4.8 79.3 82.5 3.2
Total scheduled flights 23.6 26.1 10.6 67.1 74.1 10.4 85.8 93.4 8.9 78.2 79.3 1.1
Charter flights 0.01 0.01 –21.7 0.02 0.01 –28.9 0.04 0.03 –21.7 42.6 38.7 –3.9
Total passenger flights 23.6 26.1 10.6 67.1 74.1 10.4 85.8 93.5 8.9 78.2 79.3 1.1
13.7 %
growth in Aeroflot airline's domestic passenger traffic
7.8 %
growth in Aeroflot airline's international passenger traffic

Domestic routes

In 2015, the total number of passengers carried by Aeroflot airline on domestic routes increased by 13.7% y-o-y to 12.7 million. Passenger turnover grew by 11.8% to 27.3 billion RPK while the available seat-kilometres increased by 12.3% to 33.3 billion ASK, leading to a slight decrease in the passenger load factor by 0.3 p.p. to 82.2%. In 2015, the share of domestic passengers increased from 47.2% to 48.5% of the total number of passengers carried by Aeroflot airline.

International routes

In 2015, the total number of passengers carried by Aeroflot airline on international routes increased by 7.8% y-o-y to 13.4 million. Passenger turnover grew by 9.6% to 46.8 billion RPK, with the available seat-kilometres increasing by 7.1% to 60.2 billion ASK, driving an increase in the passenger load factor by 1.8 p.p. to 77.7%. In 2015, the share of international passengers decreased from 52.8% to 51.5% of the total number of passengers carried by Aeroflot airline.

Aeroflot airline's operating results by region are explained by the factors affecting the Group's overall performance by region mentioned above.

Subsidiary Airlines

Subsidiaries carried a total of 13.3 million passengers, which accounts for 33.8% of Aeroflot Group's passenger traffic. The growth in subsidiaries' passenger traffic is primarily driven by the development of Pobeda airline. Subsidiaries are focused on domestic routes (80.6% of their total passenger traffic), with highest contribution of Rossiya and Pobeda airlines. The share of international passengers in subsidiaries' passenger traffic is 19.4%, more than half of it generated by Rossiya airline.

Subsidiaries 2015 passenger load factor
Subsidiaries 2015 passenger load factor

Cargo and Mail Operations

Airoflot Group doesn't have dedicated cargy fleet and exploits belly cargo model for cargo and mail transportation. In 2015, Aeroflot Group carried 156.3 thousand tonnes of cargo and mail, down 6.0% y-o-y, due to the influence of macroeconomic factors, sanctions imposed on Russia, the weakening national currency, and falling imports.

In the reporting period, the cargo/mail tonne-kilometres increased by 7.0% to 9.5 billion tonne-kilometres (TKM) while the revenue load factor went down by 1.1 p.p. to 62.7%.

In 2015, Aeroflot airline carried 135.1 thousand tonnes of cargo and mail, down 7.0% y-o-y. The сargo/mail tonne-kilometres increased by 8.5% to 7.3 billion TKM while the revenue load factor fell by 0.8 p.p. to 62.3%.

156.3 thousand tonnes
of cargo and mail carried by Aeroflot Group

Aeroflot Group cargo and mail operations, thousand tonnes
Aeroflot Group revenue tonne-kilometres, billion TKM, and revenue load factor, %
eroflot Group revenue tonne-kilometres and revenue load factor
135.1 thousand tonnes
of cargo and mail carried by Aeroflot airline

Aeroflot airline cargo and mail operations, thousand tonnes
Aeroflot airline revenue tonne-kilometres, billion TKM, and revenue load factor, %
eroflot airline revenue tonne-kilometres and revenue load factor