Finnair Oyj

Good day, ladies and gentlemen. I'm Erkka Salonen from Finnair Investor Relations, and it's my pleasure to welcome you to this Q2 2026 earnings call. I'm joined by our CEO, Turkka Kuusisto, and our CFO, Pia Aaltonen-Forsell. After the presentation, you may ask questions either by dialing in or by using the webcast chat function, and you can already send the questions during the presentation. But with these words, I hand it over to you, Turk. Please, go ahead.

Thank you Erkka and very good afternoon to all of you and welcome to this result presentation event. Earlier this morning we have reported very strong performance during the second quarter of 26. which is kind of a continuation of the two earlier quarters Q4 2025 being the all-time high Q4 and also strong performance continued during the first quarter. What is kind of especially important to address when it comes to the second quarter performance in my opinion is actually rather Holistic success in multiple areas. For instance, the revenue growth of 16.4% comes across the all service lines that we have. Passenger revenue grew by some 15%. Ancillary sales more than 20%. And cargo really did overperform our expectations by 40% growth. And also Aurinko Matka did deliver a high single digit growth. Then when we translate the 16% revenue growth into comparable operating result, which was 78 million euros, it's very important to address the comparison versus last year. Last year we reported some 10 million euros of comparable operating EBIT. But we need to then factor back or add back the cost of the industrial action that we faced last year. Based on our best estimate, the cost of our impact of industrial action last year during the second quarter, there are some 28 million euros. So if we add that back operationally, we delivered some 40 million euros of comparable EBIT. So basically what happened this year that we were almost capable of doubling the result. Pia will cover the operating cash flow in more detail but of course very happy to see close to a 200 million euro operating cash flow which is of course essential when it comes to or pivotal when it comes to funding the investment scheme that we have communicated to you as well earlier this year. What is behind the revenue growth is a kind of a complex topic. Of course, the demand in the Asian traffic started very positively already in January-February timeframe and was somewhat boosted by after the events that have taken place in Middle East after the escalation of the Iran-US war. Pia will also discuss this in greater detail. But in addition to the Middle East situation, I want to emphasize that we did In the West, even adding frequencies to our Far East Asia traffic this summer season by flying 28 weekly frequencies between Helsinki and Japan, which again makes Finland the largest European carrier between Japan and Europe. At the same time as we will shortly see in the traffic area split also our demand increased quite a lot in our European traffic area and also the kind of the minor decline that we faced in North Atlantic traffic actually turned into a positive development. Again in Pia's presentation or slides we have more details when it comes to the fuel hedging position but in hindsight of course it's easy to acknowledge that the hedging policy of Finner and the actions Pia and her team have taken have provided us with the stability, predictability and also some capabilities to control the cost position that is the largest in our P&L. We do have a We had 82% hedging ratio for the second quarter and for the remaining six months the ratio is 76. Already in connection with the first slide, one key highlight when it comes to the implementation of the new strategy. During the second quarter, we have now signed letters of intent to source six second-hand Airbus A320 aircraft, and if and when these agreements will be turned into definite agreements, these aircraft will enter our fleet already in 2027. Speaking of customers, I'm very happy to report these numbers. Throughout the last Eight months or so, we have continuously developed the NPS to the positive direction. And throughout Q2, we again scored, in my opinion, a very solid number, 42, which compares to 33 of the peer average. And that's, of course, a consequence of smaller actions, introduction of new digital components, digital elements. But above all, this is the resultant of excellent operational Capability, operational excellence that our team has delivered throughout the Q2. For instance, our punctuality has been 99% during the Q2, but then again, of course, the on-time performance is challenged. during the summer season because of the congested air traffic control platform in Europe. But all in all, very happy to see these numbers. And when we take a bit of a deep dive into the core customer section of ours, we are capable of reporting actually a bit higher figures. Then taking the geographical split, we decided to remove the Middle East box for obvious reasons. We have suspended our flights to Dubai and Doha since late February. Our intention is to restore the flights from Helsinki to Dubai if the safety and security situation allows towards the winter schedule or winter season. Asia super strong, revenue grew by 20%, load factor improved by 6%. We can be extremely satisfied with this development situation. And as already mentioned, Europe also did perform very well in my opinion. We increased the capacity by 8%, whereas the revenue grew double digit figure and load factors also somewhat developed to the positive direction. As already mentioned North America or North Atlantic also improved. We did decrease the capacity by some tactical kind of elimination of certain frequencies to improve the load factors and yields consequently and therefore again the revenue grew by some six percent. This is a bit crowded slide, but we also wanted to cover this one with you that, in my opinion, illustrates the very stable market share in Helsinki at the Helsinki hub, Helsinki-Europe traffic, pretty much where it has been over the past two years. And then Europe to Asia traffic, minor increase in the market share starting from the first quarter of 26 with these both kind of market share Grafs gives us a great position to continue the network design and network development when moving forward and also the implementation of the new strategy. Now I would hand it over to Pia for a while to discuss the financials in more detail.

Thank you very much, Turkka. And good afternoon, everybody. It is, of course, a pleasure to present these strong results. So let me start by just an overview of some of the KPIs that Turkka has already mentioned. Revenue growing by 16%, resulting in a comparable operating result of 78 million. You can see that that's really the highest figure that you can see on this chart here for the operating result. And then also giving us a very healthy cash flow. And I will dig a little bit deeper now into the components, both of the revenues and the cost. So let me take you there to the next slide. I think these are important metrics to follow. So RASC and CASC, so looking at the revenues per available sea kilometer and also the costs as we are by our strategy in a growth phase. So we want to keep on growing our capacity and with that then of course also having a good look at these key figures. Now this quarter in particular on the revenue side, obviously there was one big external event, which was the war in Iran and the situation in the Middle East that obviously also pushed some of the demand towards other suppliers than the Middle East hubs. And when we are looking at the development of our RASC, obviously we need to take that into account. We are also stating here that that's a significant contributor to the RASC improvement. And there's also an underlying strong continued demand that I think we saw earlier in the year. I'll give you sort of one fact point of that that I find important from a Finnish perspective. Actually, consumer confidence has increased. For the first time for really many years actually been growing to be more positive and sort of the willingness to travel also amongst sort of Finnish customers and Finnish consumers has certainly increased. Maybe I can also refer back to the slide that Turkka already presented where we looked at the RASC development a bit also by the regions. And we know that the traffic between Europe and Asia is really important for us and continues to be so, and was of course impacted by this crisis. And there we saw RASC increase, let me check the figure, by 16%, so obviously a big increase. But we also saw RASC increase on North Atlantic. 14% and we also saw a good increase in Europe and in domestic 4-5%. So we can see that all of our areas have contributed. So I still want to reiterate what Turkka said about the good operational performance, the balanced decisions when it comes to our network, the utilization of the capacity, this sort of holistically contributed to this really strong top-line development and good RASC development as well. Now, jet fuel and that cost side is certainly on our mind. And I actually have a couple of more slides on that. So I think it's enough to say here that that certainly has increased from a sort of market cost perspective. Our hedges have certainly protected us a lot. And there are also typically a bit of delays until some of those sort of operational costs of the fuel increase really hit the P&L. So all, you know, that also contributed into a somewhat, let's say, delayed impact. And we will discuss the forward looking hedges in just a little bit. We have also seen some increases in other costs, as you can see here. And it's really personnel costs that have increased predominantly because the number of passengers really grew by more than 7% in this quarter. So sort of Finnair's own production certainly has increased. And I would say the other cost elements are pretty well under control. Maintenance, for example, fairly stable, etc. Okay, so those were some of the key highlights from the P&L perspective that I wanted to mention. Let me take you to a few topics when it comes to our overall financial position, when it comes to our balance sheet. And first, there's a KPI that really also reflects sort of the market and the continued strong what we might call sort of order intake but ticket sales and the ticket liabilities that we have in our balance sheet at the moment are at 757 million euros. That's a really high number and you can see this sort of level increase that we already saw in Q1 it has been kind of keeping there. So I think it really shows this improved market momentum also compared with So this summer season for sure we have seen a lot of very healthy sales. Then we have continued our CAPEX program as Turkka has talked about. And I think this is important that we have launched the strategy. We are now working according to that. and you see that the capex in the quarter is about 72 probably for the full year we will go over and beyond the 400 million which is well aligned with the two around 2 billion for the strategy period that we have talked about in our strategy. And then finally, our balance sheet strength. I think our financial position is stronger than it has been for a long period of time. If you look at our leverage, it's down to 0.9 times at this point in time. And when you look at the development of cash position versus our revenue, it's growing steadily even when we are investing. I think at the point of time where we are today with the uncertainty, that's certainly a very good situation to be in. And then talking about the uncertainty, my two last slides will be more focused on the fuel situation. First, we wanted to bring a more holistic view on the fuel situation. Obviously, I know many of you are also following the jet fuel situation in particular, but I still think it's worth noting that kind of through this crisis, obviously a lot of focus on the Brent and the crude oil and the developments there. And from our perspective, unfortunately, of course, when it comes to jet fuel, you know, the situation has been even more constrained. As we speak today, we have seen 10 days again of continued conflict in the Middle East, and with that increases in crude oil price, but also increases in the jet fuel price. So really, if we compare with last year, we are at a completely different level, and the situation continues from a market perspective to be very constrained. If we then look at Finnair's position, our hedging position kind of confirmed by Turkka really protected us in the second quarter. And I think we were also able to be active in the market of hedges again when the situation calmed down a bit. So if we now look at our hedge position at the end of June, I think we have a good protection, 81% to Q3, 71% to Q4. and of course also with hedges into next year but of course on a falling curve and still also the price levels, the costs there are not exactly the same as they were pre-war but still on a reasonable level compared with where the market stands today. So this continues to protect us also our long-standing relationship with suppliers continues to protect us. We haven't seen any supply or availability issues that would have disturbed our production thus far These are topics that we will need to continue to monitor. Obviously, it's a very volatile situation as we speak, and we will continue to work the way that we have also worked in Q2, a very tight collaboration here between the operations, of course, the network, the revenue, and as well then the risk management and the treasury bit. So we will continue along those lines. But with that said, Turkka, back to you.

Yes. Thank you Pia. We also wanted to share a short strategy execution update with you. I'm very happy to report that basically all the strategic priorities and initiatives that we have along these four categories are progressing. pretty much as planned we've been very active when it comes to the convenience part the fleet and network strategic priority of ours as already mentioned we have now signed letters of intent to source six 321 co generation aircraft from the secondary market to support the growth and then as already communicated in connection with the employer Announcement late March. We will aim at going up to 12 second-hand Airbus 320s towards the end of the strategy cycle. During Q2, we also announced that we will resume flights to Tampere and Turku to support the connectivity for these growth regions of Finland. And as I already mentioned in connection with my opening slide, we have studied flight to 12 new destinations in Europe and also reopened or resumed the evergreen Toronto-Helsinki route. And here are some facts related to operational stability and excellence that we also refer to. Flight regularity 99% during the second quarter and we are continuously introducing AI-powered components to improve the effectiveness and efficiency and customer experience of all the customer-facing processes and channels of ours. Choice-based product offering, again a few KPIs. The ancillary revenue per passenger grew by 15%, which is a continuation of the double-digit growth that we have delivered over the past 18 months or so. And all in all, when the number of passengers also grew, the total ancillary revenue grew by some 20%. And we continue to analyze the data, customers' preferences, to further develop the menu and the variety of ancillaries in our offering. At the same time, we are also investing heavily when it comes to making Finnerplus loyalty scheme more attractive. I'm very happy to see and report that the number of active Finnerplus members increased by some 30%. And we did sign some domestically and regionally important Finnerplus partnerships with some well-known brands and companies. Also something that I wanted to include into this slide is the kind of the cultural and organizational sentiment of Finnair. Last year was very difficult for obvious reasons and very complex CLA processes. But as we speak today, the organizational culture and the sentiment is developing Very positively, very strong momentum when it comes to Finnair Voice engagement index development. We scored 7.4 in the measurement round that ended mid-June, whereas the figure for end of 2025 was 7.0. And then just to recap, because there is so much activity ongoing when it comes to our fleet plans. There are one new, the final 350 coming in during the fourth quarter of this year. And then end of March, we communicate the E2, the Smaller Narrowbody Investment Scheme, consisting of 18 firm orders and then some options and purchase rights and at the same time we communicated the intent to acquire reasonably new second-hand Airbus 320s and also some regional aircraft to really support the regional traffic and also the operational stability given the fact that we are flying ATRs and Embraer E1s with such a high utilization rate that we need to have also some spare aircraft. So basically that was the strategy section and then going to the outlook and guidance. Outlook is specified and the specification is the capacity growth measured by ASKs and today we say that it will grow approximately by one percent. Last time around we said three percent and then the guidance is revised earlier we said that the revenue range is 3.3 to 3.4 billion euros today it's 100 million euro higher from 3.4 to 3.5 billion euros whereas we will keep the guidance related to comparable operating result as it was last time given the uncertainty and low visibility and the kind of a geopolitical situation being emphasized So with these words, Erkka, I guess we are ready for the Q&A section.

Indeed. So now would be a convenient time for any questions you may have. So please follow the operators instructions to present them or write those in the webcast chat.

If you wish to ask a question, please dial star 5 on your telephone keypad to enter the queue. If you wish to withdraw your question, please dial star 5 again on your telephone keypad.

The next question comes from Jonas Haya from OP. Please go ahead.

Thank you and good afternoon. Thanks for taking my questions. I have a couple. Firstly, I'm looking at Cask X Fuel. That growth seems to have been clearly stronger in Q2 versus Q1. So could you please elaborate the key elements and maybe provide some color on the H2 outlook? I think you mentioned the number of passengers. Growth in that figure increased costs, but I think if I have my numbers correct, your passenger growth was at a similar level in Q2 versus Q1. But still the CASC ex-fuel increased quite a lot. So can you please elaborate this?

Hi Jonas, thanks a lot. And it's a good deep dive question. Obviously we go directly into some details here. I think first of all, if I look at sort of the annual growth of the cost now from memory, I don't have the fact sheet in front of me, but we are talking some Thank you very much. So, I mean, this is the season when, you know, the level of activity is really high and, you know, we have a higher number of personnel right now. So, admittingly, yes, we have also seen some growth earlier in the year, but this is really sort of to cater for that peak season. And please keep in mind as well that, you know, this is more maybe marginal, but I'll still mention it as we are also preparing for the CAPEX projects, etc., There's some cost that we are adding also there, some training, etc. I mean, we do need to have the right persons then in place for the infleeting, etc. So, you know, if I would look at it sort of from where I stand today, I think out of the increase that I saw sort of year on year in the quarter, maybe about half of that really comes just from the fact that we are in the peak season, still increasing our passenger amount significantly. Then there is certainly inflation. If you look at sort of the CLAs and the agreements, et cetera, if I would translate that to millions, maybe it's four million, five million, something like that sort of inflation bound. And then we had a couple of million extra what I would call sort of training cost, a bit of catch up there maybe as well from history. And then, you know, we do have a better year and there is a bit bigger accruals when it comes to SDI, etc. That's again, again, a couple of millions. So that's sort of the approximate breakdown I could give for you right now.

All right. Thank you very much. And then secondly, cargo yields seem to have jumped significantly. Is this mainly a reflection of the reduced market capacity or perhaps fuel surcharges? What's driving the development?

Basically combination of the both components you mentioned.

Okay, thank you. And then finally, I'm looking at the other income line that came down from Q1. Can you remind us on what kind of changes have you had in the wet lease front? and is Q2 a good proxy for what should be expected for the second half of the year?

Yes, we need to keep in mind that the wet lease agreement with Qantas to treat 30s, that agreement ended end of March this year.

All right, thank you very much.

Thank you. The next question comes from Posi Verzenin from Nordia. Please go ahead.

Thanks. This is Pasi from Nordea. Well, firstly, a question related to unflown ticket liability. Here we have seen a growth of 13%, but is this growth coming from the 13% higher ticket prices? So what could be the unit growth when excluding this price-related effect from the liability? Thanks.

Thanks, Pasi. Excellent question. I think this must reflect sort of the broader picture of where we have seen, you know, both, you know, our volumes increasing as well as then, you know, Thank you very much.

Yes, I would agree with Pia. A combination and maybe one third coming from the yield and two thirds from the number of passengers.

Oh yeah, that's excellent. And then one question related to your investment program. So what could be the annual average capacity increase Coming from this 2 billion investment in the strategy period, I know that you have guided roughly about 4% growth in the amount of passengers, but by taking into account that the new planes are narrow poly planes and of course serving a kind of shorter route, I guess the capacity growth then could be below the 4%. Growth coming from the amount of passengers.

You're right that the strategy is built on the assumption that four percent growth on annual basis and of course it depends to some extent that when do we get the new aircraft into our production and what is the kind of a business mix between or how much we will still utilize wet leases during the so-called transition period. But I guess the optimization exercise that we have ahead of us is to really source the aircraft and also utilize the wet lease capacity so that we can meet the 4% growth ambition.

So that the capacity growth could be close to 4% also in this period?

Yes.

Okay, yeah, excellent. Maybe just one issue related to foil costs. Can you give us any color regarding the foil costs in the second half? Because this is probably the biggest black box here and creating uncertainty in the estimates and also on your guidance. For example, when looking at the open position and the fuel costs on the spot market, is there any time lag you are kind of facing one, two days, one, two weeks or one month in the spot prices? How should we actually try to estimate the fuel cost in the second half?

Pasi, it is indeed an excellent question. And I think, first of all, we try to give a bit of color for that to really give specifically the sensitivity to the fuel price. So if sensitivity 10 percent change in the jet fuel price for us would be an 18 million change. on result level and that's taking into account the hedges that we have and obviously with sort of the 76% sort of hedge level I think a critical point to look at is you know what are the sort of costs that we have locked in already and then you are right that there are delays from sort of you know the spot price that you see vis-a-vis you know when we actually use the fuel what's actually on the invoice but that is to some extent confidential contractual information but I think you can observe a little bit the pattern from the early sort of part of the year as well that there's also always some delay in that but typically in the market those delays are not significant so we are not talking quarters or anything like that.

Yeah and one technical issue related to kind of passport prices we can see from the markets for example from Reuters and Blueberry I guess those are wholesale prices in Rotterdam so Are you hedging prices made for the delivery prices from Porvoo to Helsinki Vantaa or are you hedging prices actually to the wholesale prices? Is there kind of 11, 12 or 14 percent difference?

Maybe I can try to answer this on a little bit more general level. I think there are certain indices that we are sort of typically locking the hedges into, and those vary somewhat by market. So you could, for example, have a different index in Asia versus Europe. So indeed, you know, there is some alteration depending on where we actually use the fuel, but it is still based on sort of indices that are available in the market.

Okay, I see. And maybe lastly regarding the rerouting of those planes from Middle East to other destinations. Is there any flexibility? Is it even possible to kind of start up the Dubai routes immediately if the airspace is opened? Or have you then kind of six months, three months lag? If you are using those planes already and sold those tickets, I guess it's impossible to ramp up this capacity again.

Yes, so basically what we've communicated very recently that we will not resume Helsinki Doha anymore. Qatar Airways will start to operate Helsinki Doha by themselves. We do intend to... Fly Helsinki-Dubai based on the winter schedule, winter 26. But only if the safety and security situation allows us to do so. And we do have some flexibility when it comes to then towards the winter season to optimize the frequencies and capacity, let's say, towards the North Atlantic traffic. If the situation allows reopening Helsinki and Dubai, we are more than capable of doing so.

Yeah, excellent. Yeah. Well, thanks. That was all from my side.

Thank you, Pasi.

The next question comes from Joko Turpeinen from SEB. Please go ahead.

Hi, good afternoon. Could you update us on your analysis on the jet fuel availability towards the year end? What is the risk level for possible delivery constraints for Finland and on the other hand elsewhere in the European markets?

Based on the current understanding and very thorough and frequent dialogue with our long-term partners, we don't foresee any fuel restrictions or fuel availability issues at Helsinki airport. And if we faced something, let's say in the Europe, we can fly more than 80% of our short-haul destinations by tank carrying so that we take enough fuel from Helsinki to fly back and forth. And then when it comes to our global footprint, we do not have any indication that we would face fuel shortages or fuel restrictions by the local, let's say, players and or government. So from that point of view, as we speak today, we do have a very good visibility and a confident position.

Okay, good, thanks. Then a bit more specific question on the growth in the number of passengers on the European routes. Could you elaborate a bit more in details? Has this been driven by the international passengers, possibly those who are transfer passengers between Europe and Asia, or was this predominantly driven by the so-called domestic, i.e. Finnish passengers?

I would say that it's a combination of both. We have seen very strong demand from the Finnish passengers to use their discretionary spending to traveling and going abroad. But of course, especially the Far East Asia or Asian long haul, Development has been so positive, it goes without saying that all the passengers will not stay in Finland, actually quite the opposite, they will continue to Europe for instance through our European network. So it's a combination of both. And then of course by adding 12 new European destinations, that has also been a successful contributor to the growth of passenger volumes in Europe.

Okay, good, thanks. And a follow-up, if I may. Could you update us on what is the kind of current status of the Middle Eastern hubs? Are they fully operational? What becomes the kind of European airlines traveling, sorry, the Middle Eastern European local players traveling between Europe and Asia via the Middle East?

It's a bit of a mixed bag and of course when the war re-escalated some 10 days ago we've tried to understand that what's the current kind of a sentiment and how different carriers are operating. Based on the current information it seems that the local carriers have not suspended their routes or schedules for a longer period of time. They've been basically cancelling In a tactical or operational window, quite a few flights, more than 200 was the latest figure that I got. So basically they are flying by wire day by day evaluating the situation. But then the European carriers have suspended their flights to Dubai and Doha for instance because of the recommendation of the European Aviation Safety Agency that has again raised or escalated the kind of the security and safety situation of that particular region to the highest level. So European carriers are not flying there as we speak.

Okay and then thanks and finally on the guidance communication on the planet somewhat slower capacity growth. Did you say where you're going to cut that capacity? Geographically speaking.

Yeah, it's based on the current situation in the Middle East. So, you know, if you recall sort of before everything happened, Middle East was some 3% of our top line there. So, you know, obviously now we have cancelled Doha and Dubai maiden reappear towards the winter season. But that's really a big contributor to this change. So it So it's difficult to pinpoint any other sort of individual reason. Of course, there could operatively be some reasons, but not sort of one other big impact.

Yes, and just to maybe also mention the one of the widebodies that was damaged September last year, Whiskey Hotel 350. We originally thought that that aircraft could return to service end of February, but we actually got that aircraft back, was it late May, so we had one widebody down versus the original plan.

Okay, I understand. That's very good. All from my side. Thanks.

Thanks, Jaakko.

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The next question comes from Andrew Lobenberg from Barclays. Please go ahead.

Oh, hi there. Congratulations on a really strong quarter and good execution. Can I ask what The revenue guidance and the capacity guidance implies for your unit revenue expectations in the second half, you know, compared to that 14% unit revenue in the second quarter, because obviously doing the maths is not very straightforward because you've got the changes in the wet lease. So what's your internal, what's the implied RASC guidance for H2 from your capacity and revenue guidance?

Yeah. Hey, thanks, Andrew. And thanks for the congrats. That's really appreciated. And I think one of the things to isolate, obviously, is try to look really at, you know, what sort of goes into our top line is obviously where we are really sort of flying our own traffic. And now the comparison period, there was still this, you know, Thank you very much. Thank you very much. and that is also then a part of the revenue growth that we are seeing.

Okay, if I can stay on the same topic and I know previous speakers have asked on it as well but as we had a brief moment of peace and building up to that the Gulf carriers were reintroducing you know full operations What happened to the pace of your Asian bookings? Did it step down noticeably or was it a more subtle fade? And obviously have you seen any change to your inflow in Asian bookings as hostilities have resumed in the most recent days?

I would say that we saw the most visible We had a kind of upside towards the end of March, but when we had this very fragile memorandum of understanding between the parties, we didn't see or witness a slowdown of the bookings overall, and also Asia performed well. And now, based on the current information, the geopolitical situation is not that much anymore influencing the velocity of the bookings.

Okay, that makes sense, thanks. Move to a different subject matter, if I may. Your 320 deal for six used 320s. How old are they? How content were you with the price? Are you seeing that the market is getting a bit easier with, you know, the failure of Spirit and Frontier handing aircraft back? Or were you slightly wincing when you accepted the deal but you need the...

So without going into the details we are still in the letters of intent phase but what can I disclose is that we have found let's say a sub fleet of aircraft that are pretty close to the configuration that we are currently operating so from the complexity point of view Pretty optimal and also the modification cost that is required in order to make them look and feel like thinner and also let's say install the needed winter operation kits etc etc is very reasonable and this is a very different situation that we faced let's say 12 or six six months back so if and when we will finalize these six letters of intent i think that we have we've done a very good deal And going back to the age question, they are below 10 years on average and the engines are overhauled and maintained. And then we would like to see the first six aircraft arriving our fleet already in 2027.

Okay. Ancillaries were really strong. There's a brief reference on the web on the presentation towards bundles. Can you talk a little bit more about what is driving that super performance on ancills and how sustainable is that rate of growth? Because it's really impressive.

Thank you for the question and it's been pretty impressive and kind of my position or perspective is that the double digit growth has now continued over the past few quarters and it's not a coincidence we've developed the product offering. We are introducing new products but above all we are making the let's say the checkout flow easier and also we aim at identifying the most optimal kind of purchasing windows or windows of opportunity that when a consumer or passenger is willing to buy an ancillary or two so it's pretty much about Introducing the modern retailing capabilities and personalization. In addition to developing the right products, we need to sell them at the right time to the right person. We have really invested in developing our retailing and marketing capabilities.

Perfect. One last one and then I'll shut up and let anyone else go. How are the different new routes that you brought to market this summer? How are they behaving?

They are behaving actually pretty well. Of course, when you open 12 new destinations, there is some variety and variance when it comes to booking velocity. But up until now, it seems that they've been right choices and very good business for us. Thank you so much.

Thank you, Andrew.

Thank you.

The next question comes from Mateo Salcedo-Lopez from OdoBHF. Please go ahead.

Hello, thanks for taking my question. I have three if I may. The first one, you were mentioning Asia bookings are continuing, let's say, on a good pace. And what about yields to Asia bookings?

I think, hello Mattias, good to have you on the line. I think as such we are not really expanding our comments into sort of forward-looking yields, etc. But I think the holistic picture we were trying to give earlier is that we don't see here a slowdown.

Okay, and maybe on the same topic, on cargo, are you seeing, is the performance, the strong performance continuing so far, or yes, what's the color on that sense?

I think the comments we could almost repeat I mean obviously cargo was really significantly stronger than normal during the second quarter and it was both volumes and yields and you know that in the cargo business this is very sort of a short cycle so obviously this kind of gets pressure tested every day again but we do still see a sort of a good flow at this point in time

And then maybe my last question is regarding your EBIT guidance. If I do the 12 months rolling, we're almost at your top end of the range you have given. I understand that there is some uncertainties with fuel costs, but are there any other items that might impact your guidance or the fact that you didn't actually upgrade your EBITDA guidance while you upgraded your revenue guidance?

Yeah. Thank you. I do think that the fuel cost is sort of the biggest individual item where, you know, the changes just happen really fast on the market. And that's why we also wanted to give this figure that the 10% change, and this you should of course look sort of throughout the period, you know, from July until the end of the year, would bring 18 million of, you know, change in the result. Thank you very much. In the longer term, and now I'm not talking about sort of this week or next week, but this could also have an impact on the consumer sentiment if the war continues. We have not seen this at this point in time as already discussed, but it's July now and we are still talking about our guidance until the end of the year.

Okay, pretty clear. Thanks.

Thank you.

Thank you. Seems there are no further questions in the telco, but one question online still. So how does demand look for Q3?

So basically what we've discussed in connection with the questions and also the presentation, I think the best estimate is the unflown ticket liability that we also disclose in our numbers. that grew by 13.3% and then the more qualitative remarks and comments related to very resilient and consistent consumer preference to use the discretionary spending to traveling and experiences which is also supported by Aurinko Matkat's insight that this is the second highest consumer kind of a consumer's intention to travel abroad Thank you all and have a happy summer. Thank you.