Copa Holdings, parent of Panama’s Copa Airlines and Copa Airlines Colombia (formerly Aero Republica) has posted first-quarter net income of $94.5 million, which is more than double the $42.6 million earned in the year-ago period. Strong sales growth has more than offset a 50% rise in fuel costs. Excluding special items, Copa would have reported net income of $82 million, a 30.9% increase over adjusted income of $62.7 million in the 2010 period.
The company said results “were positively impacted by strong demand trends which resulted in a robust increase in passenger traffic and average fares.” Operating revenues rose 24.7% to $423.1 million, while operating expenses climbed 23.4% to $322.1 million, primarily driven by a 48.6% increase in fuel costs. Operating profit of $101 million was up 29.2% from $78.2 million last year.
The number of passengers carried rose 12% to 1.65 million, while RPMs climbed 20.5% to 2.42 billion as average stage length rose 7.8% to 967 miles. Yield climbed 3.9% to 16.7 cents per RPM. Capacity jumped 24.5% to 3.1 billion ASMs and RASM was virtually flat at 13.6 cents. Operating cost per ASM declined 0.9% to 10.3 cents. CASM ex-fuel decreased 9.5% to 6.6 cents.