Grupo Viva Aerobus increased its total operating revenues by 42% in the second quarter of 2017
Mexico City -- Grupo Viva Aerobus, holder of Viva Aerobus, Mexico's ultra low-cost airline, reported a 42% increase in its total operating revenues of the second quarter of 2017 compared to the same period in 2016, reaching 1,872 million pesos.
Viva Aerobus also reported a 29% increase in its net income compared to 2Q2016, with a total of 149 million pesos and a margin of 8%.
These results were driven by its growth in capacity, load factor and passenger traffic thanks to the most competitive prices on the Mexican market. Additionally, the second quarter of 2017 included the Easter high season, which in 2016 fall in the first quarter.
Thus, Viva Aerobus transported more than 2 million passengers, a growth of 46% over the same period of the previous year, obtaining a load factor of 91%, 9.7 percentage points higher than 2Q2016.
Moreover, in its financial report of the second quarter of 2017, Grupo Viva Aerobus shows the following:
Total operating revenues in 2Q2017 increased 42% compared to the same period in 2016; reaching 1,872 million pesos. From this total, passenger revenues accounted for 56% with 1,057 million pesos and the remaining 44% corresponds to service charge and others with 815 million pesos.
Capacity measured in available seat kilometers (ASKs) totaled 2,268 million, representing an increase of 28.0% from 2Q16.
Total operating expenses in the second quarter of 2017 totaled 1,707 million pesos; a 43% increase over the same period of the previous year. This variation is related to a higher operating capacity as well as changes in the operating environment but mainly rising fuel prices.
At the close of the second quarter of 2017, EBITDAR amounted 653 million pesos, a 34% when compared to the second quarter of 2016. Its margin in 2Q2017 was 35%.
Short-term loans and borrowing increased 5% between June 30, 2016 and June 30, 2017, rising from 376 million pesos to 395 million pesos. The longterm liabilities rose 38% between June 30, 2016 and June 30, 2017, increasing from 1,147 million pesos to 1,582 million pesos. This increase mainly stemmed from the financing strategy implemented for the fleet acquisition.
At the end of 2Q17, and after receiving a new Airbus A320ceo aircraft, Grupo Viva Aerobus continues to expand its fleet, being one of the youngest in Mexico and the world, including 22 aircraft: 22 Airbus 320ceo and two Airbus 320neo. The fleet's modernization plan aims to reach 53 aircraft by 2020.
"The second quarter of 2017 showed results that reflect an important advance in consolidating our strategy of being the most efficient and accessible airline connecting the main destinations in Mexico, a clear evidence of the confidence that our customers give us by obtaining a first-class service in safety, quality and reliability at the best price. Therefore, we continued to increase our flight offer and in this second quarter we launched 5 new routes, reaching a total of 77 routes to 34 different destinations", said Gian Carlo Nucci, CEO of Grupo Viva Aerobus.