Main Brazilian airlines report a profit of BRL 4.5 MM in the 1st quarter of the year

The three main Brazilian airlines closed the first quarter of this year with a positive net result of BRL 4.5 MM, with a positive net margin of 43.2%. In the same period last year, the companies ended the quarter with a net loss of BRL 6 MM, with a net margin of -119.2%. The data are part of the Airline Financial Statements report released on August 4, by Brazil’s Civil Aviation Agency (ANAC, in Portuguese). The result is directly related to the recovery of air transport at the beginning of 2022. According to the statistical data presented to ANAC, in the first quarter of the year compared to the same period last year, in the domestic market, Brazilian airlines Latam, Gol, and Azul increased its flight offer by 49.3%, 39.6%, and 14.6%, respectively. The period also recorded a significant increase in passenger transport in the domestic market, in the order of 70.5% (Latam), 47.2% (Gol), and 19.3% (Azul). The balance sheet of Brazilian air transport companies shows that air service revenues of the three main companies increased by 111.7% compared to the 1st quarter of 2021, while operating costs and expenses increased by 68.9%. Ticket revenue increased by 137.4% and represented 82.9% of total air service revenue. Revenues from Cargo and Mail Bags, in turn, increased by 12% and represented 7% of the total. Among costs and expenses, the highest cost in relation to the total of the sector was fuel and lubricants (35.78%), followed by personnel (13.69%) and by insurance, leases, and maintenance (12.83%). In compliance with Resolution #342/2014, the quarterly financial statements must be presented by companies with a share equal to or greater than 1% in terms of domestic or international passenger paid kilometers (RPK). The annual ones must be presented by those with a share equal to or greater than 1% of the RPK or paid tons kilometers transported (RTK) in the domestic or international market. – https://www.gov.br/anac/pt-br/noticias/2022/principais-aereas-brasileiras-registram-lucro-de-r-4-5-bi-no-1o-trimestre-do-ano