Amadeus Reports Robust Financial Growth in First Nine Months of 2024
The first nine months of 2024 have seen Amadeus, a leading technology partner for the travel industry, demonstrate significant financial strength. The company experienced double-digit increases across key performance indicators, reflecting robust growth and enhanced profitability.
Group revenue surged by 12.6%, reaching €4,600.6 million, while EBITDA (earnings before interest, taxes, depreciation, and amortization) grew by 13.3% to €1,806.3 million. Operating income also saw a healthy 16.9% increase, and adjusted profit expanded by 17.4%, showcasing Amadeus’ strong financial position. This sustained growth period has fueled the company’s free cash flow generation, reaching €975.2 million. As of September 30, 2024, Amadeus’ net financial debt stood at €2,511.0 million, resulting in a healthy leverage ratio of 1.09 times the last twelve months’ EBITDA.
Luis Maroto, President & CEO of Amadeus, expressed optimism about the company’s future, stating:
“We have delivered high-growth, profitable, and cash-generative results, underpinned by strong performances across our business units. We remain confident in our growth prospects as we accelerate investments to become the primary aggregator of NDC (New Distribution Capability) volumes for airlines and travel agencies, lead airline IT retailing, and establish ourselves as the preferred IT provider for the hospitality industry.”Business Highlights:
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Air Distribution:
This segment experienced a 10.0% year-over-year revenue increase, driven by a 3.4% rise in bookings and a 6.4% growth in unitary booking revenue. Strategic NDC partnerships with major airlines like Delta Air Lines, Virgin Australia, and IndiGo have strengthened Amadeus’ position in NDC content distribution.*
Air IT Solutions:
The segment grew by 16.2% due to a 12.0% increase in passengers boarded, benefitting from air traffic growth and recent customer implementations. The introduction of Navitaire Stratos, a new retailing portfolio designed for low-cost carriers, enables enhanced traveler services and flexible integrations. Amadeus also expanded its partnership with Qatar Airways, with the airline adopting Amadeus’ Ancillary Dynamic Pricing, part of its Offer Management portfolio, for enhanced revenue management.*
Airport IT and Hospitality Solutions:
The Airport IT segment expanded its customer base, with notable additions like Groupe ADP. Meanwhile, Hospitality & Other Solutions saw a 12.9% revenue increase, driven by new customer implementations.Commitment to Sustainability:
Amadeus underscores its commitment to a sustainable future by achieving validation from the Science Based Targets initiative (SBTi) for its GHG emissions targets. This validation reaffirms the company’s ambition to contribute to a “net-zero” travel industry by 2050.
Amadeus’ impressive financial performance and strategic initiatives indicate a robust future for the company. Its focus on innovation, strategic partnerships, and sustainability positions it well to capitalize on the growing travel industry while contributing to a more sustainable future for the sector.
