Volaris Provides Q3 Guidance: Expects ASM (YoY) Of About -14%, TRASM Of ~$9.3 Cents, CASM Excluding Fuel Of ~$5.6 Cents, And An EBITDAR Margin Of ~33%
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Volaris has provided its Q3 2024 guidance, expecting a YoY ASM decrease of about 14%, TRASM of approximately $9.3 cents, CASM excluding fuel of around $5.6 cents, and an EBITDAR margin of about 33%.
July 23, 2024 | 5:59 am
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NEUTRAL IMPACT
Volaris expects a significant YoY decrease in ASM by about 14% for Q3 2024, but anticipates higher TRASM and EBITDAR margin compared to Q3 2023. CASM excluding fuel is also expected to rise.
The expected decrease in ASM indicates a reduction in capacity, which could be a concern. However, the increase in TRASM and EBITDAR margin suggests improved revenue per available seat mile and profitability. The rise in CASM excluding fuel indicates higher operational costs. Overall, the mixed signals may result in a neutral short-term impact on the stock price.
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IMPORTANCE 80
RELEVANCE 100