Shareholder information and IR

The Company's share capital was increased by 23 billion new shares following a successful public share offering in September 2020 whereby the number of shareholders increased by 7,000. In addition, investors who were allocated new shares in the offering were issued warrants to subscribe to further new shares in the Company that may be exercised at certain dates over the next two years.

Share capital

The Company's share capital amounts to ISK 28,437,661 thousand. Each share carries one vote at shareholders' meetings. The shares are freely transferrable unless otherwise stipulated by law. All shareholders hold equal rights to dividend payments as declared from time to time. In accordance with a resolution passed at a shareholders' meeting on 22 May 2020, the Company's share capital was increased by 23 billion new shares following a public share offering in September. In addition, investors who were allocated new shares in the offering were issued warrants to subscribe to further new shares in the Company that may be exercised at certain dates over the next two years. The warrants amount to 25% of the nominal value of the new shares issued as a result of the offering. If all warrants are exercised they will raise an additional ISK 5,750 million in equity for the Company. New shares issued as a result of the warrants being exercised will be issued within the same share class as all existing Icelandair Group shares. The Company held no treasury shares at year end 2020.

Share performance

The Icelandair Group’s shares were affected by the COVID-19 virus which put a strain on the share price development in 2020. The share stood at ISK 7.55 at the beginning of 2020. The shares reached a high of ISK 8.82 at 7 February 2020. Over the year Icelandair Group’s share price decreased by 78% in 2020. The widespread availability of vaccines and implementation of successful testing regimes will be key for the recovery in travel demand and share prices in the coming year.

Icelandair Group shareprice and trading volume in 2020

All amounts in ISK 2020 2019 2018 2017 2016
Market capitalisation million 46,638 41,057 47,900 73,550 115.500
Share price at year end 1.64 7.55 9.58 14.71 23.10
Highest closing price 8.82 11.10 16.55 23.53 38.90
Lowest closing price 0.87 5.50 6.53 13.13 22.95
No. of issued shares million 28,438 5,438 5,000 5,000 5,000
No. of outstanding shares million 28,438 5,438 4,813 4,861 4,975
Average no. of outstanding shares million 12,054 5,244 4,822 4,887 4,975

Share liquidity

Icelandair Group has entered into an agreement with Islandsbanki hf. regarding market-making for the issued shares of Icelandair Group. The agreement is of unspecified duration and may be terminated with one month's notice. The purpose of the agreement is to improve liquidity and to enhance transparent price formation for the Company’s shares on NASDAQ OMX Iceland.

Shares in Icelandair Group were traded 17,218 times in 2020 (2019: 7,428 times) for a total market value of ISK 26.0 billion (ISK 32.8 billion in 2019). The average number of shares traded was 53.7 million. Icelandair Group’s market capitalisation at the end of 2020 was ISK 46.6 billion.

Key ratios

Icelandair Group reported net shareholder loss of USD 366.6 million in 2020, corresponding to -3.04 US cents per share. The Company’s total equity at year-end was USD 232.8 million.

2020 2019 2018 2017 2016
Earnings per share in US Cent -3.0 -1.1 -1.2 0.8 1.8
Intrinsic value of share capital 1.1 10.9 12.0 15.0 14.0
P/E ratio -0.4 -5.9 -7.1 18.4 11.4
P/B ratio 1.5 0.7 0.8 1.0 1.6
Number of shareholders 13,508 3,171 3,017 2,394 2,560
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Shareholders

At the end of 2020 the number of shareholders was 13,508, as compared to 3,017 at the beginning of the year. Main reason for the large increase in the number of shareholders is the successful public share offering in September 2020 whereby the number of shareholders increased by around 7,000. Of the total shareholder base, 0.3% of the total shareholder base held 53.3% of the shares in the Company.

Successfull share offering

"We are thankful and honored by the support that investors and the Icelandic public demonstrated by their strong participation in the share offering that marked the final step in the financial restructuring of Icelandair Group in 2020. With a broader investor base, strong balance sheet, the flexibility of our route network as well as our outstanding employees, we are in a good position to scale up quickly as soon as markets open again."

Bogi Nils Bogason, President & CEO of Icelandair Group.

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Number of shares Shareholders % Shares %
1 - 100,000 3,916 28.99 244,465,024 0.86
100,001 - 1,000,000 7,418 54.92 3,269,381,965 11.5
1,000,001 - 10,000,000 1,947 14.41 5,102,813,433 17.94
10,000,001 - 100,000,000 191 1.41 4,661,325,793 16.39
100,000,001 + 36 0.27 15,159,674,438 53.31
Total 13,508 100.0 28,437,660,653 100.0

20 Largest shareholders 31 December 2020

Name No. Shares Shares in %
Gildi Pension Fund 1,803,761,301 6.34
Bru Pension Fund of Municipality 1,356,204,675 4.77
The Pension Fund for State Employees. Division-A 1,195,000,000 4.20
Arion bank 912,636,714 3.21
Islandsbanki 784,869,305 2.76
Boksal ehf. 662,513,653 2.33
The Pension Fund of Commerce 642,361,239 2.26
Solvollur ehf. 554,704,375 1.95
General Pension Fund 544,402,218 1.91
Landsbref – Urvalsbref – Icelandic Professional Investors Fund 496,061,487 1.74
Stefnir IS 15 – Icelandic Professional Investors Fund 492,778,863 1.73
Stefnir Samval – Icelandic Professional Investors Fund 452,000,000 1.59
Collection Fund of Pension Rights (Pension Fund) 448,869,554 1.58
Stefnir IS 5 – Icelandic Professional Investors Fund 443,812,333 1.56
Birta Pension Fund 381,591,996 1.34
Individual 350,000,000 1.23
Lifsverk Pension Fund 307,915,100 1.08
FIA Pension Fund 293,861,670 1.03
The Pension Fund for State Employees. Division-B 280,437,800 0.99
IS Equity Fund 272,922,941 0.96
Other 15,760,955,429 55.42
Total 28,437,660,653 100.00

Dividend and dividend policy

Icelandair Group's goal is to pay 20-40% of each year's net profit in dividends. Final annual dividend payments will be based on the financial position of the Company, operating capital requirements and market conditions. Icelandair Group’s Board of Directors proposes that no dividends will be paid out to shareholders for the year 2020.

Investor relations

Icelandair Group’s objective is to ensure that timely and correct information about the Company is made available to all stakeholders simultaneously, regularly and consistently. All press releases, financial disclosures and Company announcements are published through GlobeNewswire, a NASDAQ company. Icelandair Group strives continuously to improve the quality, transparency and consistency of its information disclosures.

The investors’ website at www.icelandairgroup.com/investors/ provides extensive news and background information on Icelandair Group for both analysts and investors. The site contains archived regulatory announcements, financial reports and presentations, shareholder information, share price information, dividend policy and the financial calendar.

Financial calendar

Financial statement Q1 2021

29.04.2021

Financial statement Q2 2021

22.07.2021

Financial statement Q3 2021

21.10.2021

Financial statement Q4 2021

03.02.2022

Annual General Meeting

Week 10 2022

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