Copa Holdings Reports Financial Results for the Third Quarter of 2016
Published on : Wednesday, November 9, 2016
Copa Holdings, S.A. today announced financial results for the third quarter of 2016 (3Q16). The terms “Copa Holdings” or “the Company” refer to the consolidated entity. The following financial information, unless otherwise indicated, is presented in accordance with International Financial Reporting Standards (IFRS). See the accompanying reconciliation of non-IFRS financial information to IFRS financial information included in financial tables section of this earnings release. Unless otherwise stated, all comparisons with prior periods refer to the third quarter of 2015 (3Q15).
OPERATING AND FINANCIAL HIGHLIGHTS
- Copa Holdings reported net income of US$74.0 million for 3Q16, or diluted earnings per share (EPS) of US$1.75.
- Excluding special items, Copa Holdings would have reported an adjusted net income of $55.3 million, or $1.30 per share, a 47.8% increase from adjusted net income of US$37.4 million and US$0.85 per share for 3Q15.
- Operating income for 3Q16 came in at US$77.2 million, a 52.7% increase from operating income of US$50.6 millionin 3Q15. Operating margin for the period came in at 13.6% or 4.3 percentage points higher than 3Q15, as a result of stronger unit revenues and lower unit costs.
- Operating results for the quarter were affected by realized fuel hedge losses of US$22.2 million, compared toUS$24.1 million in 3Q15. Excluding these realized fuel hedge losses, operating margin for the quarter would have been 17.5% for 3Q16, and 13.6% for 3Q15.
- Total revenues increased 4.0% year over year to US$569 million, as higher load factors offset a 7.6% reduction in yield per passenger mile. As a result, operating revenue per available seat mile (RASM) increased 1.8% to 10.3 cents when compared to 3Q2015.
- For 3Q16, passenger traffic (RPMs) grew 12.7% year over year on a 2.0% capacity expansion. As a result, consolidated load factor came in at 84.2%, or 8.0 percentage points above 3Q15.
- Operating cost per available seat mile (CASM) declined 2.9% year over year to 8.9 cents. CASM, excluding fuel, decreased 0.9% year over year to 6.4 cents.
- Cash, short term and long term investments ended 3Q16 at US$773.4 million, representing 36% of the last twelve months’ revenues.
- During the quarter, Copa Airlines returned two leased EMB-190s. Copa Holdings ended the quarter with a consolidated fleet of 99 aircraft.
- For 3Q16, Copa Holdings reported consolidated on-time performance of 90.1% and a flight-completion factor of 99.8%, maintaining its position among the best in the industry.
Source:- Copa Airlines
Tags: Copa Airlines