Volaris September Traffic Update Shows Positive Trends

Volaris Reports Strong Traffic Results for September

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE: VLRS and BMV: VOLAR), known as Volaris, recently released its preliminary traffic results for September. This ultra-low-cost airline, primarily focused on serving Mexico, the United States, and parts of Central and South America, showcased resilience even amidst challenges.

September Highlights of Volaris Performance

For September, Volaris faced a notable decrease in ASM capacity by 12.8% compared to the previous year. This decline was primarily due to the expedited inspections of Pratt & Whitney engines, which resulted in some aircraft being temporarily grounded. Despite these setbacks, the airline successfully transported 2.3 million passengers and achieved an impressive load factor of 85.0%, marking a 1.2 percentage point increase from the same month last year.

Passenger Metrics and Performance Overview

During this month, Volaris recorded domestic RPMs experiencing a significant decline of 18.5%, while international RPMs saw a minor uptick of 2.1%. The overall RPMs experienced an 11.5% decrease. Nevertheless, the demand for travel remained strong as indicated by the increase in the load factor, a vital indicator of an airline's ability to fill available seats.

Statement from the President and CEO

Enrique Beltranena, President and CEO of Volaris, expressed optimism regarding the company's performance, stating: "Despite the challenges posed by engine inspections, we have seen consistent demand in both our domestic and international markets as we close out the third quarter. As we transition into the final quarter of the year, we anticipate improved comparables given the seasonal variations and the ongoing recovery in our operations. Our performance aligns with our forecasts, and we remain committed to serving our customers efficiently."

Diving Deeper into September Numbers

In analyzing the traffic metrics, the breakdown of revenue passenger miles (RPMs) reveals key insights:

• Domestic RPMs: 1,390 million, compared to 1,706 million last year, a drop of 18.5%.
• International RPMs: 892 million, slightly up from 874 million, showing a 2.1% improvement.
• Total RPMs: 2,282 million, down from 2,580 million, reflecting an 11.5% decline.

As for available seat miles (ASMs), domestic capacity decreased to 1,562 million compared to 1,947 million from a year earlier, while international ASMs slightly decreased to 1,122 million from 1,132 million.

Future Outlook and Growth Strategy

Volaris is focused on strategic growth, adapting to market needs and consumer travel patterns. With a diversified route network of over 220 destinations and maintaining one of the youngest fleets in the industry, the airline aims to attract cost-conscious travelers from various sectors. The ongoing expansion plans and commitment to affordability ensure that Volaris remains a competitive player in the ultra-low-cost carrier market.

Frequently Asked Questions

What is Volaris’ load factor for September 2024?

The load factor for Volaris in September 2024 was 85.0%, a slight increase compared to 83.8% in September 2023.

How many passengers were transported by Volaris in September 2024?

Volaris transported 2.3 million passengers during September 2024.

What factors impacted Volaris' performance in September?

The primary factors affecting performance included accelerated Pratt & Whitney engine inspections and related aircraft groundings, which led to reduced capacity.

How does Volaris intend to address the decline in RPMs?

Volaris plans to improve operational efficiency and enhance service delivery to capture increased demand in both domestic and international markets.

Where can I find more information about Volaris?

For additional details, visit Volaris’ investor relations website or contact their investor relations team.

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