MEXICO CITY, July 15, 2021 /PRNewswire/ -- Controladora Vuela Compañía de Aviación, S.A.B. de C.V. (NYSE: VLRS and BMV: VOLAR) ("Volaris" or "The Company"), the ultra-low-cost airline serving Mexico, the United States of America, and Central America, today announces its financial results for the second quarter 2021[1].

Second Quarter 2021 Highlights
(All metrics are compared to 2Q 2019 unless otherwise noted)

Volaris reported a strong second quarter with double-digit growth in revenue and EBITDAR, driven by a continued recovery of passenger demand in the Company´s markets.

  • Total operating revenue of Ps.11,501 million, a 38% increase. Total revenue per available seat mile (TRASM) increased 22% to Ps.165 cents.
  • Operating expenses of Ps.8,850 million, a 15% increase. Operating expenses per available seat mile (CASM) decreased 3% to US$ 6.31 cents, while CASM ex-fuel increased 8% to US$ 4.22 cents.
  • Net income of Ps.1,538 million with a net margin of 13.4%. Earnings per share of Ps.1.32 and earnings per ADS of US$ 0.67.
  • EBITDAR of Ps.4,696 million, increased 103% with an EBITDAR margin of 40.8%, an expansion of 13.1 percentage points.
  • Cash generation of Ps.2,072 million with a cash and cash equivalents position of Ps.10,534 million or US$ 532 million, representing 44% of the last twelve months operating revenue.
  • Net debt-to-EBITDAR ratio of 4.5 times, back to pre-pandemic levels.

"I am proud of what our team was able to achieve in the second quarter 2021, delivering considerable improvement in almost all operating and financial metrics. We were able to significantly increase capacity while improving TRASM and maintaining our cost control discipline. This efficient growth allowed us to more than double EBITDAR compared to the second quarter of 2019," said Enrique Beltranena, President & Chief Executive Officer. "We have demonstrated yet again that the Volaris business model is sound and can deliver superior results in various market conditions. Our team has taken the opportunities that presented themselves from the CoVID-19 pandemic and come out stronger in the market." Enrique added.

Second Quarter 2021 Financial and Operations Highlights
(All metrics are compared to 2Q 2019 unless otherwise noted)


Second Quarter

Consolidated Financial Highlights

2021

2019

% Var.

Total Revenue (Ps. million)

11,501

8,329

38%

TRASM (Ps. cents)

165

136

22%

ASMs (million, scheduled & charter)

7,028

6,154

14%

Load Factor (scheduled, RPMs/ASMs)

86.6%

87.3%

(0.7) pp

Passengers (thousand, scheduled & charter)

6,202

5,654

10%

Fleet (end of period)

92

78

14

Operating Expenses (Ps. million)

8,850

7,670

15%

CASM (US$ cents)

6.31

6.53

(3%)

CASM excl. fuel (US$ cents)

4.22

3.89

8%

Operating income (EBIT) (Ps. million)

2,651

659

302%

% EBIT Margin

23.0%

7.9%

15.1 pp

Net income (Ps. million)

1,538

119

1,188%

% Net income margin

13.4%

1.4%

12.0 pp

EBITDAR (Ps. million)

4,696

2,310

103%

% EBITDAR Margin

40.8%

27.7%

13.1 pp

Net debt-to-EBITDAR

4.5x

4.4x

0.1x

Total operating revenue was Ps.11,501 million, a 38% increase, driven by higher capacity, healthy load factors and stronger unit revenue per passenger. Demand in the quarter was exceptionally strong both in the transborder and Mexican domestic market.

Volaris booked 6.2 million passengers in the quarter, an increase of 10%. Domestic and international passengers increased 9% and 11%, respectively; while total capacity, in terms of available seat miles (ASMs), increased 14% to 7.0 billion. Load factor reached 86.6%, back to pre-pandemic levels.

TRASM of Ps.165 cents, increased 22%. Average base fare was Ps.1,086, an increase of 13%. Ancillary revenue per passenger was Ps.785, a 53% increase, due to the continued growth of new and mature products, such as More Flexibility, Combo Business and Combo Health. Ancillary revenue represented 42% of total operating revenue, compared to 35% in the same period of 2019. Finally, total revenue per passenger increased 27% to Ps.1,870.

Operating expenses were Ps.8,850 million, a 15% increase, mainly impacted by maintenance and redelivery expenses. CASM ex-fuel increased 8% to US$ 4.22 cents. The average economic fuel cost per gallon declined 13% to Ps.42.6 per gallon (US$ 2.2), which totaled a CASM decrease of 3% to US$ 6.31 cents.

Comprehensive financing result decreased 2% driven by a foreign exchange gain of Ps.164 million, despite an increase of 23% of financial cost mainly related to the increase in the Company's fleet. The Mexican peso depreciated 5% against the US dollar, from an average exchange rate of Ps.19.12 per US dollar in the second quarter of 2019 to Ps.20.05 per US dollar during the second quarter of 2021. At the end of the second quarter of 2021, the Mexican peso (Ps.19.80 per US dollar) appreciated 4% compared to the exchange rate at the end of the first quarter of 2021 (Ps.20.60 per US dollar).

Income tax expense was Ps.659 million, compared to Ps.78 million in the second quarter of 2019.

Net income was Ps.1,538 million with a net margin of 13.4%. Earnings per share totaled Ps.1.32 and earnings per ADS were US$ 0.67.

EBITDAR was Ps.4,696 million, an increase of 103% due to capacity increase, higher unit revenues, and tight cost controls. EBITDAR margin was 40.8%, an increase of 13.1 percentage points.

Balance Sheet, Liquidity and Capital Allocation

During the second quarter 2021 Volaris generated cash flow of Ps.2,072 million. As of June 30, cash and cash equivalents were Ps.10,534 million or US$ 532 million, representing 44% of the last twelve months operating revenue. The net cash flow generated by operating activities was Ps.5,807 million, while cash outflows in investing and financing activities were Ps.776 million and Ps.2,959 million, respectively. Negative net foreign exchange difference was Ps.255 million.

As of June 30, 2021, the Company had only $18 million dollars outstanding of the working capital relief received on goods and services during 2020. By the end of the second quarter, the Company's suppliers and accrued liabilities were equal to 62 days of operating expenses.

As of the quarter end, net debt was Ps.39,849 million, which included Ps.5,332 million of financial debt, Ps.45,051 million of leasing liabilities, less cash and cash equivalents of Ps.10,534 million. The Company registered a negative adjusted net debt of Ps.5,202 million (excluding lease liability recognized under the IFRS16). The net debt-to-EBITDAR ratio was 4.5 times, in line with 2Q 2019.

Fleet

During the second quarter, the Company incorporated 5 new A320neo aircraft to its fleet. As of June 30, 2021, Volaris' fleet was composed of 92 aircraft (6 A319s, 70 A320s and 16 A321s), with an average age of 5.4 years. Volaris' fleet had an average of 188 seats per aircraft. 80% of its aircraft are sharklet-equipped and 39% are New Engine Option (NEO) models.

The Company plans to incorporate 25 A320neo family aircraft to its fleet in the next 18 months, ending 2021 with 101 aircraft and closing the year 2022 with 113 aircraft. Volaris anticipates the percentage of A320neo family aircraft of its fleet to be 54% by year end 2022, aligned to the Company's sustainability strategy.

Investors are urged to carefully read the Company's periodic reports filed with or provided to the Securities and Exchange Commission, for additional information regarding the Company.

Investor Relations Contact:
María Elena Rodríguez / Félix Martínez / ir@volaris.com 

Media Contact:
Gabriela Fernández / gabriela.fernandez@volaris.com/ +52 55 3104 5264

Conference call and webcast details                              

Date:

Friday, July 16, 2021

Time:

9:00 am Mexico City (CT) / 10:00 am New York (USA) (ET)

United States dial in:

+1-412-317-6378 or +1-844-204-8586

Mexico dial in:

+52-55-8880-8040

International dial in:

+1-412-317-6378

Participant code:

Volaris

Webcast & video presentation:

https://webcastlite.mziq.com/cover.html?webcastId=fb8ba57c-7f6d-42fa-abb0-7c4b8acdd791 

About Volaris:

*Controladora Vuela Compañía de Aviación, S.A.B. de C.V. ("Volaris" or the "Company") (NYSE: VLRS and BMV: VOLAR), is an ultra-low-cost carrier, with point-to-point operations, serving Mexico, the United States and Central America. Volaris offers low base fares to build its market, providing quality service and extensive customer choice. Since the beginning of operations in March 2006, Volaris has increased its routes from 5 to more than 180 and its fleet from 4 to 93 aircraft. Volaris offers more than 450 daily flight segments on routes that connect 43 cities in Mexico and 28 cities in the United States and Central America with the youngest fleet in Mexico. Volaris targets passengers who are visiting friends and relatives, cost-conscious business and leisure travelers in Mexico, the United States and Central America. Volaris has received the ESR Award for Social Corporate Responsibility for eleven consecutive years. For more information, please visit: www.volaris.com.

Forward-looking Statements:

Statements in this release contain various forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which represent the Company's expectations, beliefs or projections concerning future events and financial trends affecting the financial condition of our business. When used in this release, the words "expects," "intends," "estimates," "predicts," "plans," "anticipates," "indicates," "believes," "forecast," "guidance," "potential," "outlook," "may," "continue," "will," "should," "seeks," "targets" and similar expressions are intended to identify forward-looking statements. Similarly, statements that describe the Company's objectives, plans or goals, or actions the Company may take in the future, are forward-looking statements. Forward-looking statements include, without limitation, statements regarding the Company's intentions and expectations regarding the delivery schedule of aircraft on order, announced new service routes and customer savings programs. Forward-looking statements should not be read as a guarantee or assurance of future performance or results and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved.  Forward-looking statements are based on information available at the time those statements are made and/or management's good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Forward-looking statements are subject to several factors that could cause the Company's actual results to differ materially from the Company's expectations, including the competitive environment in the airline industry; the Company's ability to keep costs low; changes in fuel costs; the impact of worldwide economic conditions on customer travel behavior; the Company's ability to generate non-ticket revenue; and government regulation. Additional information concerning these, and other factors is contained in the Company's Securities and Exchange Commission filings. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. Forward-looking statements speak only as of the date of this release. You should not put undue reliance on any forward-looking statements. We assume no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable law. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements.

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Financial and Operating Indicators
(All metrics are compared to 2019 unless otherwise noted)

Unaudited

 

Three months

ended June 30, 2021

Three months
ended June 30,
2021

 

Three months
ended June 30,
2019

Variance

(Mexican pesos, except otherwise indicated)

(US Dollars)*

(%)

Total operating revenue (millions)

581

11,501

8,329

38.1%

Total operating expenses (millions)

447

8,850

7,670

15.4%

EBIT (millions)

134

2,651

659

302.0%

EBIT margin

23.0%

23.0%

7.9%

15.1 pp

Depreciation and amortization (millions)

79

1,563

1,335

17.1%

Aircraft and engine variable lease expenses (millions)

24

482

316

52.8%

Net income (millions)

78

1,538

119

1,187.9%

Net income margin

13.4%

13.4%

1.4%

12.0 pp

Earnings per share:





Basic (pesos)

0.07

1.32

0.12

1,017.7%

Diluted (pesos)

0.07

1.32

0.12

1,017.7%

Earnings per ADS:





Basic (pesos)

0.67

13.19

1.18

1,017.7%

Diluted (pesos)

0.67

13.19

1.18

1,017.7%

Weighted average shares outstanding:





Basic

-

1,165,976,677

1,011,876,677

15.2%

Diluted

-

1,165,976,677

1,011,876,677

15.2%

Available seat miles (ASMs) (millions) (1)

-

7,028

6,154

14.2%

     Domestic

-

5,012

4,250

17.9%

     International

-

2,016

1,904

5.9%

Revenue passenger miles (RPMs) (millions) (1)

-

6,082

5,370

13.3%

     Domestic

-

4,424

3,812

16.1%

     International

-

1,658

1,558

6.4%

Load factor (2) 

-

86.6%

87.3%

(0.7) pp

     Domestic

-

88.3%

89.7%

(1.4) pp

     International

-

82.3%

81.9%

0.4 pp

Total operating revenue per ASM (TRASM) (cents) (1) (5)  

8.3

165.0

135.5

21.8%

Total ancillary revenue per passenger (4) (5)

39.6

785

514

52.6%

Total operating revenue per passenger (5)

94.4

1,870

1,475

26.8%

Operating expenses per ASM (CASM) (cents) (1) (5)

6.4

126.4

124.9

1.3%

Operating expenses per ASM (CASM) (US cents) (1) (3) (5)

-

6.3

6.5

(3.2%)

CASM ex fuel (cents) (1) (5) 

4.3

84.6

74.5

13.6%

CASM ex fuel (US cents) (1) (3) (5)

-

4.2

3.9

8.3%

Booked passengers (thousands) (1)

-

6,202

5,654

9.7%

Departures (1)

-

38,658

34,848

10.9%

Block hours (1)

-

96,721

87,686

10.3%

Fuel gallons consumed (millions)

-

69.1

63.4

9.0%

Average economic fuel cost per gallon (5)

2.2

42.6

48.9

(12.9%)

Aircraft at end of period

-

92

78

17.9%

Average aircraft utilization (block hours)

-

12.9

13.1

(1.1%)

Average exchange rate

-

20.05

19.12

4.8%

End of period exchange rate

-

19.80

19.17

3.3%

*Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

(1) Includes scheduled and chartered.                                                                    (3) Dollar amounts were converted at average exchange rate of each period.

(2) Includes scheduled.                                                                                           (4) Includes "Other passenger revenue" and "Non-passenger revenue".

(5) Excludes non-derivatives financial instruments.

 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Financial and Operating Indicators
(All metrics are compared to 2020 unless otherwise noted)

Unaudited

 

Three months

ended June 30,
2021

Three months
ended June 30,
2021

 

Three months
ended June 30,
2020

Variance

(Mexican pesos, except otherwise indicated)

(US Dollars)*

(%)

Total operating revenue (millions)

581

11,501

1,526

653.7%

Total operating expenses (millions)

447

8,850

3,820

131.7%

EBIT (millions)

134

2,651

(2,294)

NA

EBIT margin

23.0%

23.0%

(150.4%)

173.4 pp

Depreciation and amortization (millions)

79

1,563

1,451

7.8%

Aircraft and engine variable lease expenses (millions)

24

482

426

13.2%

Net income (loss) (millions)

78

1,538

(1,523)

NA

Net income (loss) margin

13.4%

13.4%

(99.8%)

113.2 pp

Earnings (loss) per share:





Basic (pesos)

0.07

1.32

(1.50)

NA

Diluted (pesos)

0.07

1.32

(1.50)

NA

Earnings (loss) per ADS:





Basic (pesos)

0.67

13.19

(15.05)

NA

Diluted (pesos)

0.67

13.19

(15.05)

NA

Weighted average shares outstanding:





Basic

-

1,165,976,677

1,011,876,677

15.2%

Diluted

-

1,165,976,677

1,011,876,677

15.2%

Available seat miles (ASMs) (millions) (1)

-

7,028

1,437

389.0%

     Domestic

-

5,012

1,202

316.8%

     International

-

2,016

235

758.7%

Revenue passenger miles (RPMs) (millions) (1)

-

6,082

1,138

434.2%

     Domestic

-

4,424

936

372.7%

     International

-

1,658

202

718.5%

Load factor (2) 

-

86.6%

79.2%

7.3 pp

     Domestic

-

88.3%

77.8%

10.4 pp

     International

-

82.3%

86.3%

(4.0) pp

Total operating revenue per ASM (TRASM) (cents) (1) (5)  

8.3

165.0

108.9

51.6%

Total ancillary revenue per passenger (4) (5)

39.6

785

644

22.0%

Total operating revenue per passenger (5)

94.4

1,870

1,417

32.0%

Operating expenses per ASM (CASM) (cents) (1) (5)

6.4

126.4

274.4

(53.9%)

Operating expenses per ASM (CASM) (US cents) (1) (3) (5)

-

6.3

11.7

(46.3%)

CASM ex fuel (cents) (1) (5) 

4.3

84.6

234.3

(63.9%)

CASM ex fuel (US cents) (1) (3) (5)

-

4.2

10.0

(57.9%)

Booked passengers (thousands) (1)

-

6,202

1,105

461.4%

Departures (1)

-

38,658

7,785

396.6%

Block hours (1)

-

96,721

19,472

396.7%

Fuel gallons consumed (millions)

-

69.1

13.1

425.9%

Average economic fuel cost per gallon (5)

2.2

42.6

43.8

(2.8%)

Aircraft at end of period

-

92

82

12.2%

Average aircraft utilization (block hours)

-

12.9

7.7

68.0%

Average exchange rate

-

20.05

23.37

(14.2%)

End of period exchange rate

-

19.80

22.97

(13.8%)

*Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

(1) Includes scheduled and chartered.                                                                    (3) Dollar amounts were converted at average exchange rate of each period.

(2) Includes scheduled.                                                                                           (4) Includes "Other passenger revenue" and "Non-passenger revenue".

(5) Excludes non-derivatives financial instruments.

 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Financial and Operating Indicators
(All metrics are compared to 2020 unless otherwise noted)

Unaudited

 

 

Six months

ended June 30, 2021

Six months ended
June 30,
2021

 

Six months ended
June 30,
2020

Variance

 

(Mexican pesos, except otherwise indicated)

(US Dollars)*

(%)

Total operating revenues (millions)

904

17,904

9,350

91.5%

Total operating expenses (millions)

808

15,992

11,337

41.1%

EBIT (millions)

97

1,912

(1,986)

NA

EBIT margin

10.7%

10.7%

(21.2%)

31.9 pp

Depreciation and amortization (millions)

157

3,118

2,893

7.8%

Aircraft and engine rent expenses (millions)

48

950

801

18.6%

Net income (loss) (millions)

41

805

(3,016)

NA

Net income (loss) margin

4.5%

4.5%

(32.3%)

36.7 pp

Earnings (loss) per share:





Basic (pesos)

0.03

0.69

(2.98)

NA

Diluted (pesos)

0.03

0.69

(2.98)

NA

Earnings (loss) per ADS:





Basic (pesos)

0.35

6.90

(29.80)

NA

Diluted (pesos)

0.35

6.90

(29.80)

NA

Weighted average shares outstanding:





Basic

-

1,165,976,677

1,011,876,677

15.2%

Diluted

-

1,165,976,677

1,011,876,677

15.2%

Available seat miles (ASMs) (millions) (1)

-

12,407

7,533

64.7%

     Domestic

-

9,050

5,455

65.9%

     International

-

3,357

2,078

61.5%

Revenue passenger miles (RPMs) (millions) (1)

-

10,284

6,304

63.1%

     Domestic

-

7,680

4,596

67.1%

     International

-

2,604

1,708

52.5%

Load factor (2)

-

82.9%

83.7%

(0.8) pp

     Domestic

-

84.9%

84.2%

0.6 pp

     International

-

77.5%

82.2%

(4.7) pp

Total operating revenue per ASM (TRASM) (cents) (1)(5)

7.4

146.0

125.0

16.8%

Total ancillary revenue per passenger (4)(5)

39.3

778

578

34.6%

Total operating revenue per passenger (5)

87.3

1,730

1,475

17.2%

Operating expenses per ASM (CASM) (cents) (1)(5)

6.5

129.7

152.8

(15.1%)

Operating expenses per ASM (CASM) (US cents) (1)(3)(5)

-

6.4

7.1

(9.1%)

CASM ex fuel (cents) (1)(5)

4.5

90.0

111.1

(19.0%)

CASM ex fuel (US cents) (1)(3)(5)

-

4.5

5.1

(13.3%)

Booked passengers (thousands) (1)

-

10,474

6,382

64.1%

Departures (1)

-

67,620

41,446

63.2%

Block hours (1)

-

169,893

106,110

60.1%

Fuel gallons consumed (millions)

-

119.9

75.0

59.8%

Average economic fuel cost per gallon (5)

2.1

41.1

41.8

(1.6%)

Aircraft at end of period

-

92

82

12.2%

Average aircraft utilization (block hours)

-

11.8

11.4

3.5%

Average exchange rate

-

20.18

21.62

(6.7%)

End of period exchange rate

-

19.80

22.97

(13.8%)

*Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

(1) Includes scheduled and chartered.                                                                    (3) Dollar amounts were converted at average exchange rate of each period.

(2) Includes scheduled.                                                                                           (4) Includes "Other passenger revenue" and "Non-passenger revenue".

(5) Excludes non-derivatives financial instruments.

 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Consolidated Statement of Operations
(All metrics are compared to 2020 unless otherwise noted)

Unaudited

 

Three months ended
June 30, 2021

Three months

ended

June 30,

2021

 

Three months

ended

June 30,

 2020

Variance

(In millions of Mexican pesos)

(US Dollars) *

(%)

Operating revenue:





Passenger revenue

563

11,145

1,436

676.1%

 Fare revenue

340

6,729

854

688.2%

 Other passenger revenue

223

4,416

582

658.4%






Non-passenger revenue

23

453

129

251.5%

 Other non-passenger revenue

20

394

102

284.9%

 Cargo

3

59

27

122.9%






 Non-derivatives financial instruments

(5)

(98)

(39)

149.7%






Total operating revenue

581

11,501

1,526

653.7%






Other operating income

(3)

(50)

(180)

(72.2%)

Fuel expense, net (1)

147

2,907

452

542.8%

Depreciation of right of use assets

67

1,318

1,240

6.2%

Landing, take-off, and navigation expenses

77

1,528

438

249.1%

Sales, marketing, and distribution expenses

24

481

179

168.2%

Salaries and benefits

59

1,162

665

74.7%

Aircraft and engine variable lease expenses

24

482

426

13.2%

Maintenance expenses

25

485

166

193.0%

Other operating expenses

15

292

224

30.3%

Depreciation and amortization

12

245

210

16.7%

Operating expenses

447

8,850

3,820

131.7%






Operating income (loss)

134

2,651

(2,294)

NA






Finance income

1

21

27

(22.9%)

Finance cost

(32)

(639)

(1,137)

(43.9%)

Exchange gain, net

8

164

1,229

(86.7%)

Comprehensive financing result

(23)

(454)

119

NA






Income (loss) before income tax

111

2,197

(2,175)

NA

Income tax (expense) benefit

(33)

(659)

653

NA

Net income (loss)

78

1,538

(1,523)

NA






* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

(1) 2Q 2021 and 2Q 2020 figures include a benefit from non-derivatives financial instruments by an amount of Ps.34.7 million and Ps.123.2 million, respectively.

 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Consolidated Statement of Operations
(All metrics are compared to 2020 unless otherwise noted)

Unaudited

 

 

Six months ended June 30,
2021

Six months

ended

June 30,

2021

 

Six months

ended

June 30,

 2020

Variance

 

(In millions of Mexican pesos)

(US Dollars) *

(%)

Operating revenues:





 Passenger revenues

872

17,275

8,984

92.3%

   Fare revenues

503

9,966

5,727

74.0%

   Other passenger revenues

369

7,309

3,257

124.4%






 Non-passenger revenues

42

839

433

94.0%

   Other non-passenger revenues

37

725

350

107.3%

   Cargo

6

115

83

38.0%






Non-derivatives financial instruments

(11)

(210)

(66)

217%






Total operating revenues

904

17,904

9,350

91.5%






Other operating income

(5)

(109)

(301)

(63.9%)

Depreciation of right of use assets

132

2,620

2,474

5.9%

Salaries and benefits

108

2,134

1,605

33.0%

Fuel expense, net (1)

244

4,829

2,965

62.8%

Landing, take-off, and navigation expenses

138

2,739

1,915

43.0%

Aircraft and engine variable lease expenses

48

950

801

18.6%

Sales, marketing, and distribution expenses

42

836

542

54.2%

Maintenance expenses

46

908

399

127.4%

Other operating expenses

30

586

517

13.3%

Depreciation and amortization

25

499

419

19.0%

Operating expenses

808

15,992

11,337

41.1%






Operating income (loss)

97

1,912

(1,986)

NA






Finance income

2

33

76

(57.0%)

Finance cost

(61)

(1,206)

(1,794)

(32.8%)

Exchange gain (loss), net

21

411

(605)

NA

Comprehensive financing result

(38)

(762)

(2,322)

(67.2%)






Income (loss) before income tax

58

1,150

(4,308)

NA

Income tax (expense) benefit

(17)

(345)

1,292

NA

Net income (loss)

41

805

(3,016)

NA






* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

(1) June YTD 2021 and June YTD 2020 figures include a benefit from non-derivatives financial instruments by an amount of Ps.100.5 million and Ps.171.4 million, respectively.

 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Reconciliation of total ancillary revenue per passenger
(All metrics are compared to 2020 unless otherwise noted)

The following table shows quarterly additional detail about the components of total ancillary revenue:

Unaudited

Three months
ended June 30,
2021

(US Dollars)*

Three months
ended June 30,
2021

 

Three months
ended June 30,
2020

Variance

(%)

(In millions of Mexican pesos)






Other passenger revenue

223

4,416

582

658.4%

Non-passenger revenue

23

453

129

251.5%

Total ancillary revenue

246

4,869

711

584.6%






Booked passengers (thousands)

-

6,202

1,105

461.4%






Total ancillary revenue per passenger

40

785

644

22.0%






* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries
Reconciliation of total ancillary revenue per passenger
(All metrics are compared to 2020 unless otherwise noted)

The following table shows the first one half of the year additional detail about the components of total ancillary revenue:

Unaudited

Six months
ended June 30,
2021

(US Dollars)*

Six months ended
June 30,
2021

 

Six months ended
June 30,
2020

Variance

 

(%)

(In millions of Mexican pesos)






Other passenger revenues

369

7,309

3,257

124.4%

Non-passenger revenues

42

839

433

94.0%

Total ancillary revenues

411

8,148

3,689

120.9%






Booked passengers (thousands)

-

10,474

6,382

64.1%






Total ancillary revenue per passenger

39

778

578

34.6%






* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.


Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Consolidated Statement of Financial Position
(All metrics are compared to 2020 unless otherwise noted)

(In millions of Mexican pesos)

June 30, 2021 Unaudited

June 30, 2021
Unaudited

December 31, 2020
Audited


(US Dollars)*


Assets





Cash and cash equivalents

532

10,534

10,103


Accounts receivable, net

144

2,861

2,027


Inventories

13

264

279


Prepaid expenses and other current assets

61

1,212

850


Financial instruments

-

-

-


Guarantee deposits

79

1,567

1,142


Total current assets

830

16,438

14,402


Rotable spare parts, furniture and equipment, net

400

7,921

7,281


Right of use assets

1,857

36,782

34,316


Intangible assets, net

9

169

192


Financial instruments

-

2

-


Deferred income taxes

140

2,775

3,129


Guarantee deposits

470

9,308

8,425


Other assets

4

80

119


Other long- term assets

16

319

325


Total non-current assets

2,896

57,357

53,787


Total assets

3,727

73,795

68,189


Liabilities





Unearned transportation revenue

413

8,180

5,851


Accounts payable

70

1,382

2,365


Accrued liabilities

175

3,462

2,356


Lease liabilities

266

5,276

6,484


Other taxes and fees payable

160

3,161

2,236


Income taxes payable

-

2

4


Financial instruments

-

-

10


Financial debt

168

3,322

1,559


Other liabilities

9

183

101


Total short-term liabilities

1,261

24,967

20,966


Financial debt

102

2,010

3,796


Accrued liabilities

14

269

67


Lease liabilities

2,009

39,775

37,646


Other liabilities

148

2,921

2,668


Employee benefits

3

56

51


Deferred income taxes

10

199

200


Total long-term liabilities

2,284

45,231

44,427


Total liabilities

3,545

70,198

65,393


Equity





Capital stock

173

3,426

3,426


Treasury shares

(10)

(204)

(224)


Contributions for future capital increases

-

-

-


Legal reserve

15

291

291


Additional paid-in capital

237

4,691

4,720


Retained losses

(154)

(3,050)

(3,855)


Accumulated other comprehensive losses (1)

(79)

(1,558)

(1,562)


Total equity

182

3,597

2,796


Total liabilities and equity

3,727

73,795

68,189







Total shares outstanding fully diluted


1,165,976,677

1,165,976,677


* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

(1) As of June 30, 2021, and December 31, 2020, the figures include a negative foreign exchange effect of Ps.1,594 million and negative

foreign exchange effect of Ps.1,577 million, respectively, related to non-derivative financial instruments.




 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries

Consolidated Statement of Cash Flows – Cash Flow Data Summary
(All metrics are compared to 2020 unless otherwise noted)

Unaudited

 

Three months

ended June 30, 2021

Three months

 ended June 30, 2021

 

Three months
ended June 30, 2020

(In millions of Mexican pesos)

(US Dollars)*





Net cash flow generated by operating activities

293

5,807

584

Net cash flow (used in) provided by investing activities

(39)

(776)

71

Net cash flow used in financing activities**

(149)

(2,959)

(1,179)

Increase (decrease) in cash and cash equivalents

105

2,072

(524)

Net foreign exchange differences

(13)

(255)

(120)

Cash and cash equivalents at beginning of period

440

8,718

10,658

Cash and cash equivalents at end of period

532

10,534

10,013





* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

**Includes aircraft rental payments of Ps.2,901 million and Ps.806 million for the three months ended period June 30, 2021, and 2020, respectively.

 

Controladora Vuela Compañía de Aviación, S.A.B. de C.V. and Subsidiaries
Consolidated Statement of Cash Flows – Cash Flow Data Summary
(All metrics are compared to 2020 unless otherwise noted)

Unaudited

 

Six months

ended June 30, 2021

Six months

 ended
June 30,
2021

 

Six months
ended
June 30,
2020

(In millions of Mexican pesos)

(US Dollars)*





Net cash flow generated by operating activities

331

6,559

3,403

Net cash flow (used in) provided by investing activities

(49)

(966)

34

Net cash flow used in financing activities**

(260)

(5,141)

(3,048)

Increase in cash and cash equivalents

23

452

389

Net foreign exchange differences

(1)

(21)

1,645

Cash and cash equivalents at beginning of period

510

10,103

7,980

Cash and cash equivalents at end of period

532

10,534

10,013





* Peso amounts were converted to US dollars at end of period exchange rate for convenience purposes only.

**Includes aircraft rental payments of Ps.5,037 million and Ps.2,626 million for the six months ended period June 30, 2021, and 2020, respectively.

 

[1] The financial information, unless otherwise indicated, is presented in accordance with the International Financial Reporting Standards (IFRS).

Cision View original content:https://www.prnewswire.com/news-releases/volaris-reports-financial-results-for-the-second-quarter-2021-301335320.html

SOURCE Volaris

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