Grupo Aeromexico (AERO) Registration Filing summary

Company overview and business model

• Operates as Mexico's only full-service carrier, offering premium services and long-haul, wide-body international flights, with a hub-and-spoke model centered at Mexico City International Airport (MEX).

• Maintains a young, modern fleet of 149 aircraft, including Boeing 787 Dreamliners and 737s, and Embraer E190s, with an average age of 8.5 years as of September 30, 2024.

• Provides a premium experience with three cabin classes, VIP lounges, and a leading loyalty program, Aeroméxico Rewards, with 10.9 million members.

• Strategic partnerships include a joint cooperation agreement (JCA) with Delta Air Lines and membership in the SkyTeam alliance.

Financial performance and metrics

• 2023 revenue reached $4,916.1 million, a 37.6% increase over 2019, with operating income of $715.8 million, up 379.4% from 2019.

• For the nine months ended September 30, 2024, operating income was 58.2% higher than the same period in 2023.

• Adjusted EBITDA for the nine months ended September 30, 2024 was $1,287.5 million; Adjusted EBITDAR was $1,298.9 million.

• As of September 30, 2024, cash and cash equivalents were $712.4 million; total assets were $6.26 billion; total liabilities were $6.84 billion; equity deficit was $583.8 million.

• Load factor for the nine months ended September 30, 2024 was 86.9%; RASK was 9.7¢; CASK ex-fuel was 5.6¢.

Use of proceeds and capital allocation

• All proceeds from the IPO will go to selling shareholders; the company will not receive any proceeds.

• Recent capital actions include a $409.3 million capital stock reduction and a $1.1 billion issuance of senior secured notes due 2029 and 2031, used in part to redeem exit financing notes due 2027.

• Entered into a $200 million senior secured revolving credit facility in August 2024, maturing in 2027.