Grupo Aeromexico (AERO) Q3 2024 earnings summary

Executive summary

• Total revenue for 3Q24 reached $1.49 billion, up 9.3% year-over-year, driven by capacity growth and higher unit revenue.

• Adjusted EBITDAR hit a record $500 million with a 34% margin, a 23.9% increase from 3Q23.

• Net income rose 9.4% to $195 million, with a 13.1% margin.

• Load factor improved to 88.9%, and on-time performance ranked best globally in five of nine months.

Financial highlights

• Operating income grew 31.4% to $332 million, with a 22% margin.

• Passenger revenue increased 9.2% to $1.37 billion; international passenger revenue up 13.5%.

• Air cargo revenue rose 11% to $72.9 million.

• Total operating expenses increased 4.3% to $1.16 billion, mainly due to higher volume and inflation.

• Fuel expenses dropped 9.9% to $314 million as fuel price per liter fell 16%.

Outlook and guidance

• Management remains committed to operational efficiency and maintaining top on-time performance.

• Continued focus on deleveraging and liquidity enhancement.