Azul SA (B3:AZUL4, NYSE:AZUL) published today (10) its results for the third quarter of 2022 (“3Q22”). The financial information presented below, except where indicated, is in reais and in accordance with IFRS ing standards (International Financial Reporting Standards), including IFRS 16.
Revenue reached a historic record for the second consecutive quarter in 2022. Total revenue of R$4,4 billion in 3Q22, 44,4% above 3Q19 and 61,0% above 3Q21. This was the fourth consecutive quarter that net income sured pre-pandemic levels.
Azul also released record PRASK and RASK, 42,1% and 34,8% respectively higher compared to 3Q21, even with a 22,4% growth in enger traffic with a capacity increase of 19,5%. As a result, the occupancy rate in the quarter reached 81,8%, 1,9 percentage points higher compared to 3Q21.
Yield also reached record levels, reaching R$48,13 cents, an increase of 38,7% compared to 3Q21 and 36,5% above 3Q19. Yield converted into dollars was also above 3Q19.
EBITDA was R$925,1 million in the quarter, practically doubling compared to 3Q21 and in line with 3Q19, even with a 138,2% increase in fuel prices, 32,1% depreciation of the real and more than 20 % of inflation in Brazil in the last three years. Operating profit was R$403,8 million.
CASK in 3Q22 was R$38,39 cents, 28,8% higher than in 3Q21, mainly due to the 85,3% increase in fuel prices and 7,2% inflation in the last twelve months.
CASK excluding fuel was basically stable compared to 3Q21, driven by fleet transformation, cost reduction initiatives, productivity gains and capacity expansion. Compared to 3Q19, CASK excluding fuel converted into dollars decreased by 11,7%.
Productivity measured through ASK per FTE increased by 8,2% compared to 3Q21 and fuel consumption per ASK fell by 2,4% in the same period as a result of the higher number of latest generation aircraft in the fleet.
Immediate liquidity was R$3,4 billion, R$297,4 million higher compared to the same period in 2019. In the quarter, operating cash inflows exceeded R$1,4 billion outflows, and we continued the process of deleveraging with R$1,4 billion in recurring and deferred lease payments and debt amortizations.
Gross debt increased by 1,8% or R$380,9 million compared to June 30, 2022, mainly due to the 3,2% depreciation of the real at the end of the period, offset by continued deleveraging with R$1,4 billion in loan and lease payments.
According to Cirium, in March, July and August 2022, Azul was the most punctual airline in the world. Azul was recognized by SKYTRAX as the best regional airline in South America and by ANAC as the airline with the highest customer satisfaction index.
aircraft fleet
As of September 30, 2022, Azul had an operating fleet of 168 aircraft and a contractual fleet of 182 aircraft, with an average age of 7,0 years, excluding Cessna aircraft.
At the end of 3Q22, the 14 aircraft not included in the operational fleet consisted of 5 ATRs subleased to TAP, 3 Embraer E1s subleased to Breeze, 4 Embraer E1s in the process of leaving the fleet, 1 Airbus A330neo and 1 Airbus A350 in the process of entering the fleet. fleet.
Azul ended 3Q22 with approximately 70% of its capacity coming from new generation aircraft, much higher than any competitor in the region.
