Gol Linhas Aéreas Inteligentes (GOLL54) Q2 2024 earnings summary

Executive summary

• Achieved highest on-time performance in Brazil and Latin America in 2Q24, with OTP of 90.5% in June.

• Announced new codeshare with Azul and resumed partnership with South African Airways.

• Launched new international routes and resumed others previously suspended due to the pandemic.

• Faced operational challenges from the closure of Porto Alegre airport, impacting ASK and revenue.

Financial highlights

• Net revenue fell 5.0% year-over-year to R$3.94 billion in 2Q24; passenger revenue down 6.5%.

• Adjusted net loss of R$1.0 billion in 2Q24, excluding non-recurring items and FX effects.

• Adjusted EBITDA of R$745 million, margin 18.9% in 2Q24, down from 22.8% in 2Q23.

• Cash and equivalents at R$2.6 billion at quarter-end; gross debt at R$29.2 billion, up 33.3% year-over-year.

• GOLLOG and Smiles segments posted strong revenue growth, partially offsetting passenger segment decline.

Outlook and guidance

• Focus on sustainable international growth and digital sales channels.

• Ongoing fleet renewal with addition of Boeing 737-MAX 8 and return of two 737-NG aircraft.

• Chapter 11 reorganization plan expected to address claims of shareholders and creditors, with plan submission deadline extended to October 2024.