Brazilian airline Azul reported record revenues of 5.1bn Brazilian reals ($881.3 million) in the third quarter of the year, up 4.3% in comparison to the same period last year.
The carrier's operating income increased 64.8 million reals to 1bn reals ($172.9 million), with an operating margin of 20% - 0.4 percentage point. Azul's EBITDA was 1.7bn reals ($294 million), up 93.1 million reals ($16.1 million), with an EBITDA margin of 32.2% - up 0.5 percentage point.
The carrier's capacity was up 3.7%. Revenue per available seat kilometre (RASK) was up 0.6%, while its cost per available seat kilometre (CASK) was flat.
The company recorded a net result of 360 million reals ($62.2 million), swinging from last year's net loss of 1.3bn reals ($224.8 million). Azul said measures such as cost management and fleet optimisation helped drive its growth.
The company's total liquidity was 6.3bn reals ($1.1bn), while its gross debt was 28bn reals ($4.8bn). Net debt to EBITDA ratio was 4.4x. The company successfully restructured its financial obligations, putting it on a more sustainable path for the future.
Azul added that it expects full year capacity to increase 6% compared to 2023, down slightly from previous estimations of a 7% increase. The capacity forecast decline was largely attributed to its domestic capacity reduction following floods in Rio Grande do Sul, its temporary reduction in international capacity in the first half of the year and OEM delivery delays. The company maintained a full year EBITDA of above 6bn reals ($1bn).
Azul also provided guidance for 2025, estimating an EBITDA of 7.4bn reals ($1.3bn), bolstered by strong travel demand, a rational competitive environment, growth in the company's business units, as well as the aforementioned restructured financing plan.