Lucid files for 1-for-10 reverse stock split requiring shareholder approval
Investing.com -- Amadeus (BME:AMA) reported a rise in first-quarter profit on Thursday, overcoming a slowdown in global air traffic, but trimmed its full-year EBITDA guidance to account for foreign exchange (FX) headwinds.
The company’s shares fell more than 3%.
The Spanish travel technology firm posted an adjusted net profit of 364 million euros ($411.36 million), up 12.3% from the same period a year ago and roughly in line with the 365 million euros expected by analysts, according to LSEG data.
Revenue for the period grew 9%, missing consensus estimates by 1%.
Despite softer air traffic levels compared to last year—pressured by events like weather-related disruptions in the United States—Amadeus said booking volumes remained resilient. The company runs the world’s largest travel reservation system.
Amadeus reported an 8% rise in EBITDA for the first quarter, broadly in line with consensus expectations. Free cash flow (FCF), however, came in below forecasts.
The company had previously cautioned that FCF would be softer in the first half of 2025 due to the timing of tax payments and capital expenditures.
Full-year guidance remains unchanged on an underlying basis and continues to assume 6% traffic growth, in line with IATA forecasts. Yet, due to currency effects, the company revised its reported EBITDA and FCF guidance slightly lower, with the mid-point for EBITDA now set at €2.5 billion—around 1% below the €2.6 billion consensus.
“However, we suspect the buyside is already below consensus,” Jefferies analysts led by Charles Brennan said.
“Some investors view profitability as EBITDA less capex and the €50m increase in capex broadly matches the year-over-year increase in EBITDA. However, we believe most will take comfort from the largely unchanged EBITDA and FCF FY guidance,” they noted.