Aeromexico Results

Aeromexico Reports 3Q19 Results

Grupo Aeromexico S.A.B. de C.V. (BMV: AEROMEX), yesterday reported its unaudited consolidated results for the third quarter 2019.

KEY FINANCIAL HIGHLIGHTS FOR THE THIRD QUARTER 2019

  • Grupo Aeromexico's third quarter 2019 revenue reached $18.3 billion pesos, a 0.7% year-on-year increase. During the quarter Revenue per ASK (RASK) increased by 4.1% and yield increased by 5.6% compared to the same period of 2018.
  • In spite of lower capacity resulting from the MAX grounding, year-on-year CASK in pesos decreased by 1.5% and CASK excluding fuel in dollars decreased 1.3%, highlighting Grupo Aeromexico´s ongoing focus on optimizing unit costs.
  • Third quarter EBITDAR reached $4.4 billion pesos, an increase of 27.8% year-on-year. EBITDAR margin was 23.8%.
  • For the third quarter of 2019, Grupo Aeromexico reported an operating profit of $1.3 billion pesos, equating to a 7.0% operating margin. This is a $1.0 billion pesos year-on-year improvement compared to the same period of 2018.
  • Aeromexico reported a net income of $65 million pesos for the third quarter 2019 for a net margin of 0.4%.  This represents an improvement of $682 million pesos compared to the same period of 2018.
  • Third quarter cash flow generation was strong with $1.8 billion pesos in incremental cash flow generated from operating activities. Aeromexico´s cash position as of September 30th, 2019 was $7.7 billion pesos. This brings Aeromexico´s cash to last-twelve-month revenue ratio to 11.0%.
  • During the quarter, the Company redelivered one aircraft. As of September 30th, 2019, Grupo Aeromexico's operating fleet comprised 121 aircraft, excluding the six Boeing 737 MAX aircraft temporarily grounded.
  • Grupo Aeromexico's third quarter capacity, measured in available seat kilometers (ASKs) decreased by 3.3% year-on-year, resulting from the temporary grounding of the 737 MAX aircraft.  The Company is continuing to assess the financial impact of both the grounding of the 737 MAX aircraft in its fleet and the current and expected future delays in delivery of additional 737 MAX aircraft and will seek compensation and other remedies as appropriate. The date for re-entry of the 737 MAX to service remains uncertain.

All figures are expressed in millions of pesos unless otherwise indicated.



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