The Polish company LOT recorded a net loss of 1 41 billion PLN in 2020, compared to a profit in 2019 of 68.9 million PLN, the company announced in its management report. Last year, the national carrier carried 3.1 million passengers.
In 2020, the company recorded a loss in sales (loss in core operations) of PLN 533.1 million compared to a profit of PLN 113.9 million in 2019.
As mentioned in the report, the operating result before depreciation (EBITDA) in 2020 was PLN -584.3 million compared to the profit in 2019 of PLN 225.0 million. On the other hand, operating loss (EBIT) in 2020 amounted to PLN 734.1 million compared to profit in 2019 of PLN 91.9 million.
The situation related to the COVID-19 pandemic, in particular Suspension of normal air connections It is the reason for the company’s inability to carry out its core business and, as a consequence, lower financial results
Written in the report.
Corona virus hit aviation. PLL LOT . Financial Results
According to the company, in relation to the COVID-19 pandemic, the main operating indicators recorded a decrease in 2020 compared to 2019, including:
- Width (measured in so-called seat kilometers) in ordinary passenger transport by 63%,
- The number of passengers who paid more than 70%,
- The number of chartered cruises increased by 73 percent
In 2020, PLL LOT carried 3.1 million prepaid passengers.
In the report, LOT stated that the net working capital (calculated as the difference between current assets and short-term liabilities) as of December 31, 2020 was PLN 1,010 million and PLN 100,000. PLN was 79 percent. Higher than December 31, 2019. The total debt ratio (calculated as liabilities and the provision for liabilities in relation to total assets) as at December 31, 2020 was 87.5%. On December 31, 2019, that percentage was 90.3 percent. In turn, the ratio of current liquidity (calculated as current assets in relation to current liabilities) at the end of the last day of 2020 reached the level of 1.9. On December 31, 2019, this ratio was 1.3.
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A lot in the face of the biggest aviation crisis in history
It was stated in the financial statements for the fiscal year ending on December 31, 2020 that “in light of nThe biggest crisis in the history of the aviation industryThe result is Too low demand for air travel The company’s board of directors in 2020 took steps to reduce fixed costs”, in particular by limiting the supply of goods and services to the minimum necessary, and not disrupting the company’s operational continuity; Re-negotiation of existing aircraft lease contracts Or a car rental company. Changes were also made to the principles of employee compensation, which reduced fixed costs related to employee remuneration.
Given the impact of the coronavirus pandemic on the company’s operations, The Board of Directors of PLL LOT expects revenue in 2021 at a similar level compared to 2020 And the stability of the company’s financial liquidity for the next 12 months from the date of the balance sheet
PLL LOT GENERAL AID
LOT stated that on December 30, 2020, the company entered into a loan agreement with the Polish Development Fund under Polish Airlines Government Support Program Adopted by the Cabinet on December 21, 2020. The loan was granted in the amount of PLN 1,800 million and was disbursed to the company in accordance with the terms of the agreement. December 31 last year the company received the first installment of the loan in the amount of 893 million PLN 682 thousand. PLN. Repayment of the loan will begin on December 30, 2023.
The second tranche of the loan granted by the Polish Development Fund in the amount of 906,318 thousand PLN. The company received the PLN on January 21, 2021.
At the end of December 2020, short-term liabilities for finance lease amounted to 338,639 thousand PLN. 468.36 PLN, including 338,604 thousand PLN due to financial leasing of aircraft. PLN 468.42 (as of December 31, 2019: PLN 321 million and PLN 57 thousand. PLN 644.64, including PLN 320 million, PLN 969 thousand, PLN 609.72 from the financial leasing of aircraft).
As of December 31, 2020, the only shareholder of the company registered in the National Court Registry was the Polish Aviation Group, owned by the State Treasury.
In accordance with the share subscription agreement concluded on December 29, 2020 between PLL LOT and the State Treasury represented by the Minister of State Assets, the State Treasury acquired 1,759,804,687 registered (non-preferred) Series G ordinary shares with a nominal value of PLN 0.08 each, With a total nominal value of PLN 140,784,374.96 for the issue price per share of PLN 0.64, that is, for the total issue price of PLN 1,126,274,999.68.
Capital increase And the change in the shareholder structure was recorded in the Register of the National Court on March 5, 2021. As a result of recording the change in the shareholder structure of the PLL LOT, the share of Polska Grupa Lotnicza in the company’s capital decreased from 100%. up to 30.32 percent
According to the information published on the company’s website, The state treasury owns 69.30%. Shares of Polish Airlines LOT, and Polish Aviation Group – 30.7 percent. 100% PGL belongs to the state treasury.