Grupo Aeroméxico has reported a net loss of MXP89 million ($6.9 million) during the second quarter, down from a net profit of MXP322 million in the Q2 2013.
Grupo Aeroméxico’s second-quarter revenue increased 9% year-over-year to MXP10.36bn, but expenses grew at nearly double the rate of revenue, rising 16% to MXP10.15bn. Second-quarter operating profit decreased 73% compared with the 2013 June quarter to MXP202 million and operating margin dropped 5.9 points from 7.9% in the prior-year period to just 2% in the 2014 second quarter.
Second-quarter traffic rose 21.6% year-over-year to 7.03bn RPKs on a 17% increase in capacity to 8.92bn ASKs, producing a load factor of 79.3%, up 3.4 points. Yield decreased 12.4% to MXP1.35.
Aeromexico cited the decline in the Mexican economy as partly responsible for the losses. The airline also blamed the Mexican peso’s depreciation by 4% relative to the US dollar during the second quarter; and Grupo Aeroméxico’s fuel price, denominated in Mexican pesos, also increased during the second quarter by 6.9% year-on-year due to the increase in the US dollar-denominated average price of fuel and the exchange rate depreciation.