Record sales in February, 76.9% Load Factor and substantial increase in revenue and yields
In February 2023, PLAY carried 63,949 passengers and the load factor was 76.9%. 31% of passengers were traveling from Iceland, 37% were traveling to Iceland, and 32% were connecting passengers (VIA). In February, 84.2% of PLAY’s flights arrived on schedule.
PLAY's routes to and from Paris and London had an impressive load factor of over 90% in February, and as before our destinations in Spain and the Canary Islands were also very strong.
The load factor for the full year of 2023 is now more than double compared to the same period last year, confirming the very positive trend in forward bookings and further strengthening our positive view for the year.
26% increase in average ancillary revenue
- Since rolling out new features in our booking engine, most notably the launch of bundled fares and ancillary services in early February, we have seen an increase of 26% in average ancillary revenue. This and other growth in general revenue can be attributed to multiple factors, including an uptick in airport sales, the expansion of cargo operations, and the implementation of digital solutions aimed at driving ancillary revenue.
- Average airfare for the year is up 19% from last year and will increase further as we get closer to the peak summer booking period.
-Unit revenue keeps rising and has surpassed the figures from the same period in 2022 for all months so far. These results are even more notable considering that capacity has increased by 200% in 2023, a factor that would typically lead to a decline in unit revenue. This demonstrates the increased strength of the PLAY brand in the market, the correct mix in our network, and the effectiveness of our commercial activity.
-February was another record sales month for PLAY. The revenue generated during the respective months of January and February 2023 is more than double the average sold revenue per month in 2022, demonstrating a significant increase in demand in the market and a sign that our increased capacity is in line with the demand in the market.
Birgir Jónsson, CEO:
“We are proud to report a record sales month in February, with strong booking and revenue trends for the months ahead as well as seeing a surge in demand to and from Iceland. Our unit revenue has continued to rise, even with a significant increase in capacity, which is a true indicator of the increasing strength of PLAY’s brand and the effectiveness of our commercial activity. These very positive trends strengthen our positive outlook and give us confidence in our performance for the year. We do, however, recognize the challenging nature of seasonal fluctuations in demand in this industry and we are managing our capacity accordingly. The nature of our market is such that the financial results of the year are decided in the all-important spring and summer months (Q2 and Q3) while the winter (Q1 and Q4) always brings weaker demand and lower yields.
In general, the year begins on a very positive note for PLAY. The booking flow is very strong, average revenue per passenger and general yields are growing while the flight operation continues to deliver outstanding on-time performance. These positive indicators give me great confidence that we are heading into a strong spring and summer seasons and I´m sure that our great team of people will continue to do a great job of building PLAY into a strong and successful airline.”