Azul has projected capacity and cost reductions for 2026, along with reporting a higher operating result for the fourth-quarter and full-year 2025. This follows the airline exiting its restructuring process last month.
“With the restructuring successfully completed, we enter 2026 better prepared than ever,” said Azul CEO John Rodgerson. “With our improved balance sheet, disciplined capacity growth, and unique network – 80% of our routes have no direct competition – Azul has a meaningful ability to react to macroeconomic challenges such as the recent increase in fuel prices.”
Full-year 2026 interest expenses are expected to be 50% compared to its pre-structuring projections.
“This reduction reflects the substantial improvement in Azul’s capital structure, including the renegotiation and simplification of its debt profile,” said Azul.
This is expected to support deleveraging over the long-term and to boost its cash flow.
Aircraft leasing expenses are set to be cut by a third this year as a result of its renegotiated lease terms and fleet optimisation.
The airline is set to cut domestic capacity by 1% in the second quarter of 2026, compared with the same period a year prior.
For the fourth quarter of 2025, the airline's operating result increased by 14.7% to 1.4bn Brazilian reals ($0.27bn), while full-year operating result rose 3.8% to 3.6bn reals ($0.69bn).
EBITDA reached a record high in the fourth quarter, after climbing 9.6% to 2.1bn reals ($0.4bn). Full-year EBITDA was also up 9.6% to 6.7bn reals ($1.28bn).
Operating revenues climbed 4.6% 5.8bn reals ($1.11bn) for the quarter and up 12% to 21.9bn reals ($4.18bn) for the year.