Volaris reports 11.3% increase in YOY operating revenue

Volaris has reported total operating revenues reached MXN 7.316 million for the third quarter, an increase of 11.3% year over year, the company said.

Total ancillary revenues were MXN 2,220 million for the third quarter, an increase of 23.5% year over year. The total ancillary revenues per passenger for the third quarter were MXN 474, increasing 10.1% year over year.

Total operating revenues per available seat mile (TRASM) were MXN 134.9 for the third quarter, a decrease of 1.9% year over year.

Operating expenses per available seat mile (CASM) were MXN 130.4 cents for the third quarter, an increase of 4.8% year over year; with an average economic fuel cost per gallon of MXN 43.5, increasing 36.9% year over year, and an average exchange rate of MXN 18.98, a year over year increase of 6.5%. Operating expenses per available seat mile excluding fuel (CASM ex fuel) were MXN 81.9 cents for the third quarter, a decrease of 7.9% year over year.

Operating income was MXN 246 million for the third quarter, with an operating margin of 3.4%, equal to a year over year operating margin decrease of 6.1 percentage points.
Net loss was MXN 119 million per ADS for the third quarter, with a net loss margin of (1.6%), equal to a year over year net margin decrease of 12.6 percentage points.

Net cash flow used in operating activities was MXN 136 million, in conjunction with cash flow provided by investing activities of MXN 20 million, net cash flow used in financing activities of MXN 247 million, and a negative net foreign exchange difference of MXN 326 million; the net cash decrease in the third quarter was MXN 689 million. As of September 30, 2018, cash and cash equivalents were MXN 6,082 million.

Passenger traffic stimulation: Volaris booked 4.7 million passengers in the third quarter of 2018, up 12.1% year over year. Volaris traffic (measured in terms of fare revenue miles, or RPMs) increased 9.9% for the same period. System load factor during the quarter decreased 2.7 percentage points year over year to 83.5%.

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (“Volaris”) (NYSE: VLRS) (BMV: VOLAR), is an ultra-low-cost carrier, with point-to-point operations, serving Mexico, the United States and Central America.