Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
Passengers +1% yoy is an improvement from last month's -1.4% and 1Q's +0.5%. Load factor at 95.4% (+1.3ppt yoy)
- Reminder passenger numbers at Wizz is skewed by plane groundings. It says this months capacity was -0.4% yoy.
- It's noted the 'all you can fly' annual memberships sold out within 48hours (10,000 passes went online) but nothing more on that.
Wizz 26s look weaker and screening value to us. We hear it is trading. View valid on offer side (€95.1/Z+190).
Wizz fundamentals are far from strong right now. GTF engine issues has meant each engine is going through inspection - it has impacted 1/4 of the fleet. The peak impact currently being experienced (47 aircraft groundings) is expected to hold till Sept. 2025 assuming a 300-day inspection turnaround (it expects positive surprises to those assumptions). The disruption has been a large drag on profitability and in the meantime BS deleveraging looks to be on pause - we see gross/net at 5.3/3.9x, its reporting net at 3.7x and targeting a 2-handle. It also faced a €770k fine from the Hungary regulator recently and a new investigation (inconsistencies on pricing across different devices) - fine is not a huge cash impact for a co guiding to FY net income in €350-400m range though.
Wizz26s has a high-beta history - recent moves suggest that isn't over yet and opens opportunities for investors.
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.